if-a-company-declares-a-dividend-of-50000-and-preferred-stockholders-are-entitle

Question

If a company declares a dividend of $50,000 and preferred stockholders are entitled to $60,000, what is the impact on common stockholders?

Accepted Answer

Common stockholders receive $0.

Answer

Common stockholders receive $10,000.

Answer

Common stockholders receive $50,000.

Answer

Common stockholders receive $60,000.

If a company declares a dividend of \$50,000 and preferred stockholders are entitled to \$60,000, what is the impact on common stockholders?