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A subsidiary of J and J had outstanding, at the end of the year, 10,000 shares of common stock outstanding and 5,000 shares of cumulative/non-participating

A subsidiary of J and J had outstanding, at the end of the year, 10,000 shares of common stock outstanding and 5,000 shares of cumulative/non-participating preferred stock. J & J wants to issue cash dividends totaling $80,000.Calculate how much goes to preferred stock holders and common stock holders.Par value of the 10%, preferred stock is $100.There are no dividends in arrears.

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