Red River Corporation Has 24,000 Shares of 11 Percent Noncumulative

Essay

Red River Corporation has 24,000 shares of 11 percent noncumulative preferred stock and 60,000 shares of common stock outstanding. Par value for each is $10. The company paid no dividends last year. This year, a $100,000 dividend is paid. How much of the $100,000 is paid to the preferred shareholders?