On 12/31/2020, the balance sheet of Union Company reports liabilities as follows Current liabilities $15,000,000 Long term notes payable 8,000,000 Mandatory redeemable preferred stock stock (par value) $10,000,000 (10% dividends) Issued 1/1/2018 Plus: additional paid in cap MRPS 2,000,000 Total liabilities = 35,000,000 Assume that the redemption schedule states that Date Redemption value (% of par value) 1/1/2019 80%; 1/1/2020 90%; 1/1/2021 95% and 1/1/2022 100% Assume on july 1 2020 holders of 50% of the mrps redeemed their shares

Required: Make the journal entries for the issuance of the preferred stock (1/1/2018) and the redemption of 50% of the stocks on 7/1/2020)