Gracey's department stores has $200,000 of 6% noncumulative, nonparticipating, preferred stock outstanding. gracey's also has $600,000 of common stock outstanding. during its first year, the company paid cash dividends of $30,000. this dividend should be distributed as follows:
a. $30,000 preferred; $0 common.
b. $12,000 preferred; $18,000 common.
c. $0 preferred; $30,000 common.
d. $15,000 preferred; $15,000 common.
e. $6,000 preferred; $24,000 common.