Headland Corp. had $100,000 of 7%, $20 par value preferred stock and 12,000 shares of $25 par value common stock outstanding throughout 2020. Assuming that total dividends declared in 2020 were $64,000, and that the preferred stock is not cumulative but is fully participating, common stockholders should receive 2020 dividends of what amount

total dividends distributed to common stockholders = $42,294.12

dividend per common stock = $42,294.12 / 12,000 = $3.52

Explanation:

allocated preferred dividends = 5,000 x $20 x 7% = $7,000

dividends directly allocated to common stockholders = $7,000 (same as above)

total dividends declared - allocated dividends = $64,000 - $14,000 = $50,000

total common + preferred stocks = 5,000 + 12,000 = 17,000

dividends per stock = $50,000 / 17,000 = $2.9412

dividends distributed to common stockholders = $42,294.12

dividends distributed to preferred stockholders = $21,705.88

dividend per common stock = $42,294.12 / 12,000 = $3.52

commercial banking

provide online payment services

provide online banking

asset management firms

invest in people's funds in securities

accept tax return refunds