Preferred Stock (Cumulative Vs Noncumulative, Participating Vs Nonparticipating, Dividends)

Accounting for Preferred Stock dividends, cumulative vs noncumulative and nonparticipating vs participating in the dividends available, allocating dividends available between preferred stock and common stock,1-Cumulative Preferred Stock: If Corp fails to pay a dividend in any year, it must make it up in later years before paying dividends to common stockholders, dividends later years not yet paid (dividend in arrears), 2-Non-cumulative P/S past dividends are lost forever, example for each, (A) Preferred Stock is noncumulative & nonparticipating(noncumulative does not pay dividends in arrears), (B) Preferred Stock is cumulative & nonparticipating (cumulative pay dividends in arrears), and (C) Preferred Stock is cumulative participating, 1-Cumulative pay dividends in arrears, 2-Participate with C/S in dividends greater than dividend rate, Participating Preferred Stock share ratably with Common Stock in any profit distribution beyond the dividend rate of P/S, detailed calculations by Allen Mursau