When Crossett Corporation was organized in January, Year 1 , it immediately issued 5,600 shares of $46 par, 8 percent, cumulative preferred stock and 8,000 shares of $8 par common stock. Its earning history is as follows: Year 1, net loss of $16,300; Year 2, net income of $118,000; Year 3, net income of $91,700. The corporation did not pay a dividend in Year 1. Required a. How much is the dividend arrearage as of January 1 , Year 2 ? b. Assume that the board of directors declares a $58,716 cash dividend at the end of Yeat 2 (remember that the Yeac 1 and Year 2 preferred dividends are due). How will the dividend be divided between the preferred and common stockholders