Tomlin, Inc. has outstanding 200,000 shares of $2 par common stock and 40,000 shares of no-par 8% preferred stock with a stated value of $5. The preferred stock is cumulative and nonparticipating. Dividends have been paid in every year except the past two years and the current year. Assuming that $122,000 will be distributed, and the preferred stock is also participating, how much will the common stockholders receive?
1) $62,000
2) $60,000
3) $32,000
4) $74,000