Outstanding Shares of the Abel Corporation Included 20,000 Ordinary Shares

Multiple Choice

Outstanding shares of the Abel Corporation included 20,000 ordinary shares with a $5 par and 10,000 shares of 4%, $10 par noncumulative preference shares. In 2013, Abel declared and paid dividends of $6,000. In 2014, Abel declared and paid dividends of $12,000. How much of the 2014 dividend was distributed to preference shareholders?

A) $8,000
B) $6,000
C) $4,000
D) None of these answer choices are correct.