When Crossett Corporation was organized in January, Year $1,$ it immediately issued $5,500$ shares of $$46$ par, $8$ percent, cumulative preferred stock and $12,000$ shares of $$13$ par common stock. Its earnings history is as follows: Year $1,$ net loss of $$13,300$; Year $2,$ net income of $$102,000$; Year $3,$ net income of $$101,200.$ The corporation did not pay a dividend in Year $1.$

Required

a$.$ How much is the dividend arrearage as of January $1,$ Year $2?$

Dividend arrearage

b$.$ Assume that the board of directors declatres a $$51,480$ cash dividend at the end of Year $2($remember that the Year $1$ and Year $2$ preferred dividends are due$).$ How will the dividend be divided between the preferred and common stockholders?

$\backslash$table$[[$Total amount distributed to preferred shares$],[$Total amount distributed to common shares$]]$