Angies Antiques Inc. is authorized to issue 100,000 shares of $100 par value, 5% cumulative preferred stocked and 100,000 shares of $1 par value common stock. See the following transactions that occurred during the year:

Jan 18: Issued for cash 30,000 shares of common stock at $10 per share.

Feb 14: Issued 4,000 shares of preferred stock for $400,000.

Sept 20: Declared dividends on preferred stock of $5 per share.

Dec 18: Paid cash dividend declared

Instructions:

Prepare journal entries for each transaction