The outstanding capital stock of Robbins Corporation consisted of 3,000 shares of \(10 \%\) preferred stock, \(\$ 250\) par value, and 30,000 shares of no-par common stock with a stated value of \(\$ 250\). The preferred was issued at \(\$ 412\), the common at \(\$ 480\) per share. On January 1, 1994 , the retained earnings of the company were \(\$ 250,000\). During the succeeding five years, net income was as follows:

No dividends were in arrears as of January 1, 1994, and during the five years 1994-98, the board of directors declared dividends in each year equal to net income of the year.
Required Prepare a schedule showing the dividends declared each year on each class of stock assuming the preferred stock is:

a. Cumulative.

b. Noncumulative.

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1994. 1995. $767,500 510,000 1996 48,000 1997 160,000 1998 662,500