Solution-Million shares of common stock outstanding

Million shares of common stock outstanding

Reference no: EM131050255

Mars Corporation has 10 million shares of a preferred stock issue outstanding that pays a cumulative $6 annual dividend on a quarterly basis. However, due to poor profitability the company has not paid the preferred stock dividend for the last five quarters. The company also has 20 million shares of common stock outstanding. Mars Corporations' profitability has improved recently and the board of directors believes that the company can pay $100 million in dividends next quarter. How much of a dividend can the company pay on its common stock?

Reference no: EM131050255

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Million shares of common stock outstanding

Reference no: EM131050255

Reference no: EM131050255

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