Cash Dividends on Common and Preferred Stock Lemon Inc. has the following information regarding its preferred and common stock: Preferred stock, $30 par, 12% cumulative; 300,000 shares authorized; 150,000 shares issued and outstanding Common stock, $2 par; 2,500,000 shares authorized; 1,200,000 shares issued; 1,000,000 outstanding At the beginning of the year, Lemon was 3 years in arrears on its preferred dividends. During the year, Lemon declared and paid dividends. As a result, the common stockholders received dividends of $0.45 per share. Required: 1. What was the total amount of dividends declared and paid? Total dividends declared and paid $ 2. What journal entry was made at the date of declaration? If an amount box does not require an entry, leave it blank. 89