Raphael Corporations balance sheet shows the following stockholders equity section.

Preferred stock5% cumulative, $___ par value, 1,000 shares authorized, issued, and outstanding	$ 65,000
Common stock$___ par value, 4,000 shares authorized, issued, and outstanding	140,000
Retained earnings	350,000
Total stockholders' equity	$ 555,000

Required:

1. Determine the par values of the corporations preferred stock and its common stock. 2. If two years preferred dividends are in arrears at the current date and the board of directors declares cash dividends of $19,700, compute the total amount paid to (a) preferred shareholders and (b) common shareholders.