A Corporation Had the Following Stock Outstanding When the Company's

A corporation had the following stock outstanding when the company's board of directors declared a
$75,000 cash dividend in the current year:
$$\begin{array} { l | l } \text { Preferred stock, \$40 par, 6\%, 12,500 shares issued } & \$ 500,000 \\\hline \text { Common stock, \$10 par, 70,000 shares issued } \ldots \ldots \ldots \ldots \ldots & 700,000 \\\hline \text { Total } \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots & \$ 1,200,000 \\\hline\end{array}$$ Allocate the cash dividend between the preferred and common stockholders assuming the preferred stock is noncumulative and nonparticipating.