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no work necessary- just the direct answers Exercise 10-74 Cumulative Preferred Dividends Capital stock...

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Exercise 10-74 Cumulative Preferred Dividends Capital stock of Barr Company includes: Common stock, $5 par, 650,000 shares outstanding $3,250,000 Preferred stock, 15% cumulative. $60 par. 10,000 shares 600,000 outstanding As of December 31, 2018 2 years' dividends are in arrears on the preferred stock. During 2019. Barr plans to pay dividends that total $360,000 Required: 1. Determine the amount of dividends that will be paid to Barr's common and preferred stockholders in 2019. Total dividend to preferred stockholders $ 262,000 x $262.000 Total dividend to common stockholders 2. If Barr paid $280,000 of dividends, determine how much each group of stockholders would receive. Total dividend to preferred stockholders Total dividend to common stockholders $ 270,000 $ 91,000 x Feedback Check My Work The cumulative feature of preferred stock requires corporations to pay all current and unpaid prior period dividends to preferred stockholders before paying any dividends to

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