* Your answer is incorrect. If dividends of $18,000 were in arrears on preferred shares, what would be the balance reported for retained earnings? Retained earnings balance 1098000 Shareholders' equity Contributed capital $5 Preferred shares, cumulative, 8,000 authorized, 5,000 shares issued $500,000 Common shares, 790,000 authorized, 580,000 shares issued 2,233,000 Contributed surplus 91,000 Total contributed capital 2,824,000 Retained earnings 1,141,000 Total shareholders' equity $3,965,000 Calculate the annual total dividend on preferred shares. Annual total dividend on preferred shares 67. $ 25000