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Question: martinez company has the following stockholders equity section of the...

Question details

Martinez Company has the following stockholders' equity section of the 2016 balance sheet:

Stockholders' Equity

9% Preferred Stock, par value, $180,

14,000 shares issued and outstanding

$2,520,000

Common Stock, par value, $14

112,000 shares issued and oustanding

1,568,000

Additional Paid-In Capital

2,700,000

Retained Earnings

1,270,000

Total Stockholders' Equity

$8,058,000

Martinez Company declared and paid a $655,000 cash dividend. The preferred stock is noncumulative. The last time that preferred stock dividends were paid was in 2014.

Required:

Compute the total dividend that is paid to the preferred stockholders.

Compute the total dividend that is paid to the common stockholders.

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