Question

Jolene Williams owns 800 shares of TRI, Inc. common stock paying a quarterly dividend of $0.57 per share and 400 shares of TRI preferred stock,$100 par value, paying an annual dividend of 7 .2 % . Find the total annual dividend she gets from the common and pref erred stock.

Answer 1

Jolene Williams's total annual dividend from her common and preferred stock can be calculated by multiplying the number of shares and the dividend rate for each type of stock and then adding the results together.

Step-by-step explanation:

To find the total annual dividend Jolene Williams gets from the common and preferred stock, we need to calculate the dividend for each type of stock and then add them together.

For the common stock, Jolene owns 800 shares and the quarterly dividend is $0.57 per share. So, the annual dividend for the common stock is 4 times the quarterly dividend multiplied by the number of shares:
Annual dividend from common stock = 4 * (0.57 * 800)

For the preferred stock, Jolene owns 400 shares and the annual dividend rate is 7.2%. So, the annual dividend for the preferred stock can be calculated by multiplying the annual dividend rate by the par value of each share:
Annual dividend from preferred stock = 0.072 * (100 * 400)

To find the total annual dividend, we add the annual dividends from the common and preferred stock:
Total annual dividend = Annual dividend from common stock + Annual dividend from preferred stock