Ethel Inc. has 15,000, $3, noncumulative preferred shares and 200,000 common shares issued. What is the total annual dividend on the preferred shares?
A) $15,000
B) $45,000
C) $200,000
D) $400,000

Question

Quizplus · Accepted Answer

The total annual dividend on the preferred shares is calculated by multiplying the number of preferred shares (15,000) by the dividend per share ($3), which equals $45,000.

Ethel Inc Has 15,000, $3, Noncumulative Preferred Shares and 200,000 Common