P13-8A The balance sheet of Hardwood Furniture. Inc.. reported the following: Stockholders' Investment [same as Stockholders' Equity] Cumulative preferred stock. Common stock, $1 par, authorized 40,000,000 shares; issued 16,000,000 shares. Additional paid-in capital.. Retained earnings (Deficit). Total stockholders' investment. (S Thousands) $ 45 16,000 217,000 (77,165) $155,880 Notes to the financial statements indicate that 9.000 shares of $1.45 preferred stock with a stated value of $5 per share were issued and outstanding. The preferred stock has a liquidation value of $25 per share, and preferred dividends are in arrears for two years, including the current year. The additional paid-in capital belongs to common. On the balance sheet date, the market value of the Hardwood Furniture common stock was $9.50 per share. Required 1. Is the preferred stock cumulative or noncumulative? How can you tell? 2. What is the amount of the annual preferred dividend? 3. What is the total paid-in capital of the company? 4. What was the total market value of the common stock? 5. Compute the book value per share of the preferred stock and the common stock.