Assume the Following Capital Structure: Preferred Stock, 6%, $50 Par

question 58

Multiple Choice

Assume the following capital structure: Preferred stock, 6%, $50 par value, 1,000 shares issued and outstanding with dividends in arrears for three prior years (2011-2013) .
Common stock, $100 par value, 2,000 shares issued and outstanding.
Total dividends declared and paid in 2014 were $50,000. How much of the 2014 dividend will be paid to the preferred stockholders assuming the preferred stock is noncumulative?

• A) $12,000.
• B) $3,000.
• C)$47,000.
• D)$38,000.

Understand the basic principles of domestic supply and demand in the absence of international trade.

Determine whether a country will become an importer or exporter given the domestic and world prices.

Analyze the impact of trade on consumer surplus, producer surplus, and total surplus.

Understand the concept of comparative advantage in international trade.

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Definitions:

Full-grown Giraffe

A fully matured giraffe, typically characterized by its long neck and legs, and distinctive coat patterns.

Calves

Young bovine animals, especially domestic cattle, or the young of other large mammals such as elephants and whales.

Number Expression

A mathematical phrase that can involve numbers and operations symbols, but doesn’t include an equal sign.

Loose Herds

Groups of animals that are not closely confined or controlled, often moving or feeding freely.