racer corporation's december $31,2020$ balance sheet showed the following preferred stock: $6\%$ preferred stock, $$20$ per value, cumulative, $40,000$ shares authorized; $25,000$ shares issued and outstanding $$500,000$ racer declared and paid a $$100,000$ cash dividend on December $15,2020.$ If the company had one year of dividends in arrears. Racer's common stockholder recieved