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Question - CanTech Supply's year-end is December 31, 2015. At that time the ledger showed the following balances:
Preferred Shares, $6 cumulative participating, 300,000 shares authorized, 25,000 shares issued 1000000 Common Shares 200,000 shares authorized, 50,000 shares issued 1600000 Contributed surplus (from previous cancellation common shares) 1350000 Retained Earnings 2457000
The preferred shares participate in distributions when the common shares receive in excess of a $4 dividend per share.
Required - Calculate the amount of cash required to pay a cash dividend of $5 to the common shareholders, if dividends have not been paid in 2013 or 2014. Please make sure your final answer(s) are accurate to the nearest whole number.
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