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Colliers, Inc. has 125,000 shares of cumulative preferred stock outstanding. The preferred stock pays dividends in the amount of $3 per share, but because of

Colliers, Inc. has 125,000 shares of cumulative preferred stock outstanding. The preferred stock pays dividends in the amount of $3 per share, but because of cash flow problems, the company did not pay any dividends last year. The board of directors plans to pay dividends in the amount of $850,000 this year.

What amount will go to preferred stockholders?

How much will be available for common stock dividends?

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