Saturn corporation has 17,000 shares of 12%, $85 par noncumulative preferred stock outstanding and 27,000 shares of no-par common stock outstanding. At the end of the current year, the corporation declares a dividend of $185,000. How is the dividend allocated between preferred and common stock holders?

A The dividend is allocated $71,477 to preferred stockholders and $113,523 to common stockholders. B. The dividend is allocated s6,537 to preferred stockholders and $113,523 to common stockholders. c. The dividend is allocated $275,400 to preferred stockholders and $90,400 to common stockholders. D. The dividend is allocated s173,400 to preferred stockholders and s11,600 to common stockholders