1. Cullumber corporation has outstanding 48,000 shares of $50 par value 5% preferred stock and
367,000 shares of 1$ par value common stock. The preferred stock was issued in July 2017 and
no dividends were declared in 2017 or 2018. In 2019 Cullumber declares a cash dividend of
$523,000
B) How will the dividend be shared by common and preferred stockholders if the preferred is
cumulative?
Preferred Stockholders:
Common Stockholders: