declared semiannual dividends of 1 40 on the preferred stock and 0 15 on the common 554412

Jan. 3.

Split the common stock 3 for 1 and reduced the par from $90 to $30 per share. After the split, there were 750,000 common shares outstanding.

Apr. 7.

Purchased 50,000 shares of the corporation’s own common stock at $33, recording the stock at cost.

May 1.

Declared semiannual dividends of $1.40 on 35,000 shares of preferred stock and $0.09 on the common stock to stockholders of record on May 15, payable on June 1.

June 1.

Paid the cash dividends.

July 29.

Sold 36,000 shares of treasury stock at $40, receiving cash.

Nov. 15.

Declared semiannual dividends of $1.40 on the preferred stock and $0.15 on the common stock (before the stock dividend). In addition, a 2% common stock dividend was declared on the common stock outstanding. The fair market value of the common stock is estimated at $41.

Dec. 31.

Paid the cash dividends and issued the certificates for the common stock dividend.