The stockholders' equity section of Haley Corporation at December 31 is as follows.

Haley Corporation

Balance Sheet (Partial)

Paid-in capital

Preferred stock, cumulative, 10,000 shares authorized, 6,000 shares issued and outstanding $300,000

Common Stock, no par, 860,000 shares authorized, 560,000 shares issued 1,120,000

Total paid-in capital 1,420,000

Retained Earnings 1,858,000

Total paid-in capital and retained earnings 3,278,000

Less: Treasury stock (8,000 common shares) 41,600

Total stockholders' equity $3,326,400

From the review of the stockholders' equity section, as chief accountant, write a memo to the president of the company answering the following questions.

(a) How many shares of common stock are outstanding?

(b)Assuming there is a stated value, what is the stated value of the common stock per share?

(c) What is the par value of the preferred stock per share?

(d) If the annual dividend on preferred stock is $27,000, what is the dividend rate on preferred stock? what is the percent?

(e) If dividends of $54,000 were in arrears on preferred stock, what would be the balance in Retained Earnings?