Preferred Stock - 6% cumulative, $20 par value, 10,000 shares authorized, 5,000 shares issued and outstanding . .$100,000 Contributed Capital in excess of par value, Preferred Stock . . . 250,000 Common Stock, $5 par value, 20,000 shares authorized, 10,000 shares issued and outstanding. . . 50,000 Contributed Capital in excess of par value, Common Stock . . . 450,000 Total Contributed Capital . . . $ 850,000 Retained Earnings . . . 150,000 Total Stockholders' Equity . . . $ 1,000,000 46. Marcy Company did not pay any dividends in 2004.

In 2005, they declared and paid total dividends of $4,000, and in 2006, they declared total dividends of $20,000. How much dividends will be paid to preferred and common stockholders in 2006? A) Preferred $20,000, Common $0 B) Preferred $8,000, Common $12,000 C) Preferred $18,000, Common $2,000 D) Preferred $14,000, Common $6,000 E) Preferred $12,000, Common $8,000