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Business, 30.03.2020 17:49 elijaahstepp041

Brown Corporation has 500,000 shares of 9%, $40 par value cumulative preferred stock authorized, 100,000 shares issued, and 80,000 shares outstanding. In addition, Brown Corporation has 1,300,000 shares of $10 par value common stock issued and outstanding. Dividends relative to the preferred stock are two years in arrears. If Brown declares a $2,000,000 dividend during the current period, the amount of the dividend applicable to the preferred and common stockholders is:a. $576,000 and $1,424,000, respectivelyb. $720,000 and $1,280,000, respectivelyc. $1,080,000 and $920,000, respectivelyd. $864,000 and $1,136,000, respectively

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