1. Express Corporation had the following stock issued and outstanding at January 1, 2018:

100,000 shares of $1 par common stock

1,000 shares of $100 par, 6%, cumulative preferred stock.

Express did not pay dividends in 2016 or 2017. In December 2018, the board of directors declared a $45,000 dividend to be paid on January 31, 2019.

Required:

1. Compute the total dividend to be paid to the preferred shareholders.
2. Compute the total dividend to be paid to the common shareholders.
3. Show the December 31, 2018 journal entry to record the declaration of dividends.
4. Show the January 31, 2019 journal entry to record the payment of dividends.