The stockholders' equity section of Haley Corporation at December 31 is as follows.

HALEY CORPORATION
Balance Sheet (Partial)
Paid-in capital
Preferred stock, cumulative, 10,000 shares authorized, 6,000 shares issued and outstanding $300,000
Common stock, no par, 860,000 shares authorized, 560,000 shares issued 1,120,000
Total paid-in capital 1,420,000
Retained earnings 1,858,000
Total paid-in capital and retained earnings 3,278,000
Less: Treasury stock (8,000 common shares) 41,600
Total stockholders' equity $3,236,400
From a review of the stockholders' equity section, as chief accountant, write a memo to the president of the company answering the following questions.

(a) How many shares of common stock are outstanding?

(b) Assuming there is a stated value, what is the stated value of the common stock?

(c) What is the par value of the preferred stock?

(d) If the annual dividend on preferred stock is $27,000, what is the dividend rate on preferred stock?

(e) If dividends of $54,000 were in arrears on preferred stock, what would be the balance in Retained Earnings?