E$11-1$A$.$ Dividend Distribution I.ake Company has the following shares outstanding: $20,000$ shares of $$50$

par value, five percent cumulative preferred stock and $80,000$ shares of $$10$ par value common stock.

The company declared cash dividends amounting to $$200,000.$

a$.$ If no dividends in arrears on the preferred stock exist, how much in total dividends, and in divi$-$

dends per share, is paid to each class of stock?

b$.$ If one year of dividends in arrears exist on the preferred stock, how much in total dividends, and

in dividends per share, is paid to each class of stock?