The outstanding capital stock of Pennington Corporation comprises of 3,100 shares of $109 par value, 6% preferred and 5,700 shares of $52 par value common.
Supposing that the company has retained earnings of $83,000, all of which is to be paid out in dividends, and that favored dividends were not paid all through the 2 years preceding the present year, state how much each class of stock should receive under each of the given conditions.