Danbo Distributing Company is primarily engaged in the wholesale distribution of consumer products in the Montana Mountain regions. The following disclosure note appeared in the company's year 4 annual report: Note 5. Convertible Preferred Stock (in part): The Company has the following Convertible Preferred Stock outstanding as of September, year 4: The Preferred Stock is convertible at any time by the holders into a number of shares of Danbo's common stock equal to the number of preferred shares being converted times a fraction equal to $15.00 divided by the conversion price. The conversion prices for the Preferred Stock are subject to customary adjustments in the event of stock splits, stock dividends and certain other distributions on the Common Stock. Cumulative dividends for the Preferred Stock are payable in arrears, when, as, and if declared by the Board of Directors, on March 31, June 30, September 30, and December 31 of each year. The Preferred Stock is optionally redeemable by the Company beginning on various dates, as listed above, at redemption prices equal to 116% of the liquidation preference. The redemption prices decrease 1% annually thereafter until the redemption price equals the liquidation preference, after which date it remains the liquidation preference. Date of issuance: June 17, year 1 Optionally redeemable beginning: June 18, year 3 Par value (gross proceeds): $2,100,000 Number of shares: 140,000 Liquidation preference per share: $15.00 Conversion price per share: $34.31 Number of common shares in which to be converted: 61,207 Dividend rate: 6.845% Required: 1.What amount of dividends is paid annually to a preferred shareholder owning 140 shares of the Series A preferred stock? 2.If dividends are not paid in year 5 and year 6, but are paid in year 7, what amount of dividends will the shareholder receive? 3.If the investor chooses to convert the shares in yeR 5, HOW MANY SHARES OF COMMON STOCK WILL the investor receive for his/hers 140 shares? 4. If Danbo chooses to redeem the shares on June 18th year 5, what amount will the investor be paid for his/hers 140 shares