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Company has 50,000 5% irredeemable preference share of $1 each and 400,000 ordinary share of $1 each. Final dividends of 5c per ordinary share were paid for the previous year, plus the preference dividends have been paid during the current year. What is amount of total dividends to be deducted from retaining earnings?
It is from my CBE exam. Any suggestions how to do it?
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