When Crossett Corporation was organized in January Year 1, it immediately issued 5,100 shares of $50 par, 8 percent, cumulative preferred stock and 10,000 shares of $8 par common stock. Its earnings history is as follows: Year 1, net loss of $13,200; Year 2, net income of $55,500; Year 3, net income of $91,100. The corporation did not pay a dividend in Year 1. Required How much is the dividend arrearage as of January 1, Year 2?