What are the dividends received by the common stockholders

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Problem 1: Colson Inc. has 4,000 shares of 9%, $100 par value, cumulative and nonparticipating preferred stock and 200,000 shares of $1 par value common stock outstanding at December 31, 2020, and December 31, 2019. There were no unpaid preferred dividends before 2019. The board of directors declared and paid a $27,000 dividend in 2019. In 2020, $74,000 of dividends are declared and paid. What are the dividends received by the common stockholders in 2020?

Option 1: $0

Option 2: $27,000

Option 3: $29,000

Option 4: $36,000

Reference no: EM132806976

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