The stockholders' equity section of Clay Corporation's balance sheet consists of the following amounts: Common...
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Accounting
The stockholders' equity section of Clay Corporation's balance sheet consists of the following amounts:
Common stock (5,000 shares) $50,000
Paid-in capital in excess of par value-common 10,000
Preferred stock (1,000 shares) 20,000
Paid-in capital in excess of par value-preferred 5,000
Retained earnings 15,000
Preferred stock is entitled to par value of $20 per share in liquidation, and all dividends have been paid to date including the current year's dividend. What is the book value per share for preferred and common, respectively?
A) $25 and $15
B) $20 and $16
C) $20 and $12
D) $25 and $12
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