Answer :
Amount of dividend paid =$1,350
Explanation :
The computation is shown below:
As per the data given in the question,
Dividend per year for preferred stock = $1700 × $100 × 3.5%
= $5,950
Particulars                   Year 1          Year 2                  Year 3
Preferred dividend     $5,000         $6,200                $6,650
                                                                                  ($700+$5,950)
Preferred dividend in arrears $950  $700
                                      ($5,950-$5,000)  ($5,950+$950-$6,200)
Therefore dividends for common shareholders is 
=  $8,000 - $6,650
= $1,350