Reference no: EM13126783

Lopez, Inc. has 2,000 shares of 4%, $50 par value, cumulative preferred stock and 50,000 shares of $1 par value common stock outstanding at December 31, 2009, and December 31, 2010. The board of directors declared and paid a $3,000 dividend in 2009. In 2010, $15,000 of dividends are declared and paid. What are the dividends received by the preferred and common shareholders in 2010?

     Preferred Common

a.    $9,000   $6,000

b.    $7,500   $7,500

c.     $5,000   $10,000

d.    $4,000   $11,000