Problem:
Blowing Rock Inc has 5,000 shares of 5%, $100 par value, cumulative preferred stock and 30,000 shares of $1 par value common stock outstanding at December 31,2014. There were no dividends declared in 2012. The board of directors declares and pays a $45,000 dividend in 2013 and in 2014.
Required:
Question: What is the amount of dividends received by the common stockholders in 2014?
Note: Be sure to show how you arrived at your answer.