Shea Company has 100,000 shares of 6 percent, $50 par value, cumulative preferred stock. In 2010, no

Question:

Shea Company has 100,000 shares of 6 percent, $50 par value, cumulative preferred stock. In 2010, no dividends were declared on preferred stock. In 2011, Shea had a profitable year and decided to pay dividends to stockholders of both preferred and common stock. If they have $750,000 available for dividends in 2011, how much could it pay to the common stockholders?
a. $0
b. $150,000
c. $450,000
d. $750,000