Squire, Inc., has outstanding 9,000 shares of $25 par value, 6% nonparticipating, cumulative preferred stock and 16,000 shares of $5 par value common stock.

If the dividend on preferred stock is two years in arrears, and the total cash dividend declared this year is $85,000, then the total amounts distributed to preferred and common stockholders, respectively, are:

A. $40,500 and $44,500

B. $13,500 and $71,500

C. $31,875 and $53,125

D. $27,000 and $58,000

E. None of the above