Columbia Company

The Columbia Company earned $1,400,000 last year. The capital stock of the company consists of $8,000,000 of 6% cumulative preferred stock and $15,000,000 of common stock. The directors declared a dividend of the entire earnings. During the previous year, the company earned $240,000 and the directors declared a dividend of the entire earnings.

-Refer to Columbia Company. What is the total amount that will be paid to the holders of preferred stock?

Question

Columbia Company
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The Columbia Company earned $1,400,000 last year. The capital stock of the company consists of $8,000,000 of 6% cumulative preferred stock and $15,000,000 of common stock. The directors declared a dividend of the entire earnings. During the previous year, the company earned $240,000 and the directors declared a dividend of the entire earnings.
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-Refer to Columbia Company. What is the total amount that will be paid to the holders of preferred stock?​

Quizplus · Accepted Answer

The Answer of Columbia Company
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The Columbia Company earned $1,400,000 last year. The capital stock of the company consists of $8,000,000 of 6% cumulative preferred stock and $15,000,000 of common stock. The directors declared a dividend of the entire earnings. During the previous year, the company earned $240,000 and the directors declared a dividend of the entire earnings.
​
-Refer to Columbia Company. What is the total amount that will be paid to the holders of preferred stock?​

Columbia Company ​

Columbia Company