The shareholders' equity of Deer Ltd. at the end of 2016 and 2015 appeared as follows: During 2016, Deer paid a total of $125,000 in cash dividends. Assume the preferred shares were not in arrears at December 31, 2015. How was the $125,000 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 $125,000 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