Out of Africa,a Multi-National Corporation Had a Very Successful Year

question 25

Multiple Choice

Out of Africa,a multi-national corporation had a very successful year.The board of directors declared and paid a cash dividend of $50,000.The prior year,Out of Africa did not pay dividends on its 400 shares of cumulative,8%,$100 par,preferred stock.How much of the cash dividend was paid to the PREFERRED shareholders?

• A)$6,400
• B)$3,200
• C)$8,000
• D)$4,000

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Definitions:

Subjective Plan

A course of action based on personal perspectives, feelings, or opinions rather than objective evidence or analysis.

Imperative

Something that is necessary or of great importance, often used in the context of commands or duties.

Maxim

A short, pithy statement expressing a general truth or rule of conduct.

Agent's Reasons

Refers to the motivations or underlying reasons that drive an individual's decisions or actions.