Table $3$

Wyllie Corporation has $15,000$ shares of $$5.$ cumlative preferred

stock ontstanding and $25,000$ shares of comon stock outstanding.

At the end of the current year. Wyllie Corporation declares a

dividend of $$120\mathrm{.}000.$ Dividends of $$37,500$ are in arrears as of

January $1$ of the current year.

Refer to Table $3.$ How is the dividend allocated between preferred and common?

$$112,500$ to preferred, $$7,500$ to common

$$75,000$ to preferred, $$45,000$ to common

$$120,000$ to preferred, $$0$ to common

$$37,500$ to preferred, $$82,500$ to common