Deepak, Inc. has the following stockholders’ equity on December 31, 2025: 

Requirements 

1. Assuming the preferred stock is cumulative, compute the amount of dividends to preferred stockholders and to common stockholders for 2025 and 2026 if total dividends are $12,200 in 2025 and $55,000 in 2026. Assume no changes in preferred stock and common stock in 2026. 

2. Record the journal entries for 2025, assuming that Deepak, Inc. declared the dividend on December 1 for stockholders of record on December 10. Deepak, Inc. paid the dividend on December 20.

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Stockholders' Equity Paid-In Capital: Preferred Stock-6%, $11 Par Value; 150,000 shares authorized, 20,000 shares issued and outstanding Common Stock-$3 Par Value; 575,000 shares authorized, 400,000 shares issued and outstanding Paid-In Capital in Excess of Par-Common Total Paid-In Capital Retained Earnings Total Stockholders' Equity $ 220,000 1,200,000 1,000,000 2,420,000 190,000 $ 2,610,000