Respuesta :
The given statement "If the dividend amount of preferred stock, $50 par value, is quoted as 8%, then the dividends per share would be $4." is True.
A Preferred Dividend is what?
- A dividend that is allocated to and paid on a company's preferred shares is known as a preferred dividend. Preferred dividend claims take precedence over claims to dividends paid on common shares if a corporation is unable to pay all dividends.
- The cash dividends that a business distributes to its preferred shareholders are referred to as preferred dividends.
- The fact that preferred stock often pays greater dividend rates than the same company's common stock is one advantage of holding it.
- The corporation must set aside money for this purpose in locations where arrears accrue because it must declare all future preferred dividend obligations in advance.
- Before a common share dividend is taken into account, preferred dividends must first be paid out of net income.
Given;
dividend amount of preferred stock per value = $50
8% of $50= $4
which means the dividend per share will be $4.
Learn more about the Dividend with the help of the given link:
https://brainly.com/question/15871366
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