Colliers, Incorporated, has 150,000 shares of cumulative preferred stock outstanding. The preferred stock pays dividends in the amount of $2 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 $710,000 this year.

Required:

1. What amount will go to preferred stockholders?

2. How much will be available for common stock dividends?