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Seaside Developments Inc. has $200,000 of no par value 4% cumulative preferred shares, and 12,000 shares...

Seaside Developments Inc. has $200,000 of no par value 4% cumulative preferred shares, and 12,000 shares of no par value common shares outstanding. In its first three years of operation, the company paid cash dividends as follows: Year 1: $8,000; Year 2: $18,000; and Year 3: $24,000. The amount of dividends received by the preferred shareholders in year 2 was..

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Answer #1
Dividend in year 2 of Preferred stockholder
Commulative from year 1                     -   (200000 * 4% = 8000 which is already paid in year 1, nothing to be carry forward)
To be paid in year 2              8,000
Total to be paain in year 2 to preferred stockholder              8,000
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