The records of Hoffman Company reflected the following balances in the stockholders' equity accounts at December 31, 2009:
| Common stock, par $13 per share, 43,000 shares outstanding. |
| Preferred stock, 10 percent, par $13 per share, 6,700 shares outstanding. |
| Retained earnings, $214,000. |
| On January 1, 2010, the board of directors was considering the distribution of a $67,000 cash dividend. No dividends were paid during 2008 and 2009. |
| Required: |
|
Determine the total and per share amounts that would be paid to the common stockholders and to the preferred stockholders under two independent assumptions
|
| a. |
The preferred stock is noncumulative. |
| b. |
The preferred stock is cumulative. |