CI 14 Problem: Module 3 Textbook Problem 14 Learning Objective: 3-11 Differentiate between common and preferred stock 0.5 points When Crossett Corporation was organized in January, Year 1, it immediately issued 4,100 shares of $49 par, 5 percent, cumulative preferred stock and 9,500 shares of $6 par common stock. Its earnings history is as follows: Year 1, net loss of $14,000; Year 2, net income of $122,000; Year 3, net income of $209,000. The corporation did not pay a dividend in Year 1. Skipped Required Print a. How much is the dividend arrearage as of January 1, Year 2? b. Assume that the board of directors declares a $54,000 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? Complete this question by entering your answers in the tabs below. Required A Required B How much is the dividend arrearage as of January 1, Year 2? Dividend arrearage Problem: Module 3 Textbook Problem 14 Learning Objective: 3-11 Differentiate between common and pref When Crossett Corporation was organized in January, Year 1, it imm preferred stock and 9,500 shares of $6 par common stock. Its earn income of $122,000; Year 3, net income of $209,000. The corporati bed Required int a. How much is the dividend arrearage as of January 1, Year 2? b. Assume that the board of directors declares a $54,000 cash dividi preferred dividends are due). How will the dividend be divided be Complete this question by entering your answers in the tabs be Required A Required B How much is the dividend arrearage as of January 1, Year 2? Dividend arrearage Requ Complete this question by entering your answers in the tabs below. Required A Required B Assume that the board of directors declares a $54,000 cash dividend at the end of Year 2 (remember the 2 preferred dividends are due). How will the dividend be divided between the preferred and common sto Distributed to Shareholders Preferred Common Amount Total dividend declared Year 1 Arrearage Year 2 Preferred dividends Available for common Distributed to common Total distribution