Question

# Dividends Per Share Lightfoot Inc., a software development firm, has Shares of ownership of a corporation.stock...

Dividends Per Share

Lightfoot Inc., a software development firm, has Shares of ownership of a corporation.stock outstanding as follows: 15,000 shares of cumulative A class of stock with preferential rights over common stock.preferred 4% stock, \$25 par, and 19,000 shares of \$75 par common. During its first four years of operations, the following amounts were distributed as dividends: first year, \$5,700; second year, \$9,450; third year, \$43,530; fourth year, \$61,550.

Calculate the dividends per share on each class of stock for each of the four years. Round all answers to two decimal places. If no dividends are paid in a given year, enter "0".

 Preferred stock (dividend per share) \$ \$ \$ \$ Common stock (dividend per share) \$ \$ \$ \$

 Preferred stock (dividend per share) \$5700 (15000shares×\$25×4%) [Remaining will be carried forward as it is cumulative preference share] \$9450 [(15000shares×\$25×4%×2)-\$5700] [Remaining dividend will be carried farward as it is cumulative preference shares] \$29850 [(15000shares×\$25×4%×3)-\$5700-\$9450] \$15000 [15000 shares×\$25×4%] Common stock (dividend per share) 0 [No profit left] 0 [No profit left] \$13680 [\$43530-\$29850] \$46550 [\$61550-\$15000]

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