Crane Corporation has $10,600$ shares of $$100$ par value, $8\%,$ preferred stock and $45,700$ shares o

$$10$ par value common stock outstanding at December $31,2025.$

Answer the questions in each of the following independent situations.

$($a$)$ If the preferred stock is cumulative and dividends were last paid on the preferred stock on

December $31,2022,$ what are the dividends in arrears on December $31,2025?$

The amount of dividends in arrears on the December $31,2025$

$

How should these dividends be reported?

The cumulative dividend is

as a liability.