The shareholders equity of Deer Ltd. at the end of 2016 and 2015 appeared as follows

During 2016, Deer paid a total of $121,000 in cash dividends.

Assume the preferred shares were not in arrears at December 31, 2015. How was the $121,000 in cash dividends distributed between the two types of shares in 2016?

Assume the preferred share dividends were in arrears for one year; that is, the dividends were not paid in 2015. How was the $121,000 in cash dividends distributed between the two classes of shares?

Both common shares and retained earnings changed during the year. Provide journal entries that would account for the changes. ( If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts)

Following are the options:

2016 2015 Share capital, preferred shares, $2 cumulative, 2,000,000 shares authorized, 24,800 shares issued Share capital, 5,000,000 common shares authorized, 1,270,000 $173,600 $173,600 common shares issued (2015-1,090,000 shares) Retained earnings Total shareholders' equity 5,260,000 4,360,000 4,212,000 3,427,000 $9,645,600 $7,960,600