The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume that 45,000 shares were originally issued and 5,000 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2-per-share dividend is declared?

The charter of a corporation provides for the issuance of 100,000 shares of common stock. Assume that 45,000 shares were originally issued and 5,000 were subsequently reacquired. What is the amount of cash dividends to be paid if a $2-per-share dividend is declared?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter14: Corporation Accounting

Section: Chapter Questions

Problem 12MC: A corporation issued 100 shares of $100 par value preferred stock for $150 per share. The resulting...

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What is the amount of cash dividends to be paid if a $2 per share dividend is declared?

10K, 90K or 80K?

The charter of a corporation provides for the issuance of 100,000 shares of common stock.
Assume that 45,000 shares were originally issued and 5,000 were subsequently reacquired.
What is the amount of cash dividends to be paid if a $2-per-share dividend is declared?

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