Scott Company

The Scott Company earned $120,000 last year. The capital stock of the company consists of $400,000 of 7% preferred stock and $200,000 of common stock. The directors declared a dividend of 60% of the earnings.

-Refer to Scott Company. Compute the total amount that will be paid to the holders of preferred stock.

Question

Scott Company
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The Scott Company earned $120,000 last year. The capital stock of the company consists of $400,000 of 7% preferred stock and $200,000 of common stock. The directors declared a dividend of 60% of the earnings.
​
-Refer to Scott Company. Compute the total amount that will be paid to the holders of preferred stock.​

Quizplus · Accepted Answer

The Answer of Scott Company
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The Scott Company earned $120,000 last year. The capital stock of the company consists of $400,000 of 7% preferred stock and $200,000 of common stock. The directors declared a dividend of 60% of the earnings.
​
-Refer to Scott Company. Compute the total amount that will be paid to the holders of preferred stock.​

Scott Company ​

Scott Company