Ace Inc Has 10,000 Shares of 5%, $100 Par Value, Cumulative

Multiple Choice

Ace Inc. has 10,000 shares of 5%, $100 par value, cumulative preferred stock and 50,000 shares of $1 par value common stock outstanding at December 31, 2014. What is the annual dividend on the preferred stock?

A) $50 per share
B) $50,000 in total
C) $5,000 in total
D) $0.50 per share