please do it step by step

2)Marks (20) Contributed Capital Preferred shares, $ 1, no par value, 100,000 shares authorized, cumulative, callable at $ 107 plus dividends in arrears; issued and outstanding, 20,000 shares 2,040,000 Common shares, no par, 100,000 shares authorized, 80,000 issued and outstanding 640,000 Contributed surplus (retirement of common shares) Retained earnings 1,600,000 120,000 The following transactions took place in 2020: Jan 20 ....... Redeemed 1,000 preferred shares at the call price. There were no dividends in arrears. Jan 28 Declared $ 100,000 in dividends. Use separate accounts for each class of dividends. Feb 28 Retired 8,000 common shares at $ 12 per share. Mar 2 Declared and distributed a 3% common stock dividend. The market value of the shares at that time was $ 11.50. . Instructions Prepare journal entries for the 2020 transactions