The Keener Company has had 1,000 shares of 7%, $100 par-value preferred stock and 40,000 shares of $5 stated-value common stock outstanding for the last three years. During that period, dividends paid totaled $6,000, $28,000, and $30,000 for each year, respectively. 1. Preferred stock is nonparticipating and noncumulative 2. Preferred stock is nonparticipating and cumulative 3. Preferred stock is fully participating and cumulative 4. Preferred stock participates up to a maximum of 9% of its par value and is cumulative

The Keener Company has had 1,000 shares of 7%, $100 par-value preferred stock and 40,000 shares of $5 stated-value common stock outstanding for the last three years. During that period, dividends paid totaled $6,000, $28,000, and $30,000 for each year, respectively.

1. Preferred stock is nonparticipating and noncumulative

2. Preferred stock is nonparticipating and cumulative

3. Preferred stock is fully participating and cumulative

4. Preferred stock participates up to a maximum of 9% of its par value and is cumulative

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