1. HEMI plans to issue 250,000 preferred shares, with a stated dividend rate of $5 per share. HEMI’s Board of Directors intends to declare the following amounts of dividends based on projected cash flow. The Accountant has asked you to complete the following table indicating how much of the dividends declared will be paid to the preferred shareholders depending on whether the preferred shares are non-cumulative or cumulative:

Year	Dividends Declared	Cumulative preferred shares	noncumulative preferred shared
2021	1,000,000
2022	1,000,000
2023	3,000,000