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    Calculating the Dividend per Share

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    Fritz Corporation has 800,000 shares of preferred stock and 1,800,000 shares of common stock. The cumulative preferred stock has a stated dividend of $2.50 per share. Under normal conditions, Kreisler pays out 30% of earnings available to common stockholders; however, because of a severe recession, Fritz retained all earnings last year. This year, Fritz earned net income of $6.4 million.

    Calculate the dividend per share to be received by the common stockholders this year.

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    https://brainmass.com/business/dividend-yield/calculating-the-dividend-per-share-228508

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    Fritz Corporation has 800,000 shares of preferred stock and 1,800,000 shares of common stock. The cumulative preferred stock has a stated dividend of $2.50 per share. Under normal conditions, ...

    Solution Summary

    The solution explains in steps how to calculate the Dividend per Share.

    $2.19

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