Curtain Company Paid Dividends of $6,000; $12,000; and $20,000 During

Multiple Choice

Curtain Company paid dividends of $6,000; $12,000; and $20,000 during Year 1, Year 2, and Year 3, respectively. The company had 1,000 shares of 5%, $200 par value preferred stock outstanding that paid a cumulative dividend. The amount of dividends received by the common shareholders during Year 3 would be:

A) $4,000.
B) $6,000.
C) $8,000.
D) $10,000.