1. Knudsen Bakeries was organized on January 1, 2019. During its first year, the company issued 2,000 shares of HK$50 par value preference shares and 100,000 shares of HK$10 par value ordinary shares. At December 31, the company declared the following cash dividends: 2019, HK$5,000 2020, HK$12,000 (HK$ in thousands). Show the allocation of dividends to each class of shares, assuming the preference share dividend is 7% and cumulative. (4%)