Preferred Dividends Timothy Distributors' equity includes 10.8%, $100 par preferred stock. There are 100,000 shares authorized and 20,000 shares outstanding. Assume that Timothy Distributors declares and pays preferred dividends quarterly. Required: 1. Prepare the journal entry to record declaration of one quarterly dividend. If an amount box does not require an entry, leave it blank. 2. Prepare the journal entry to record payment of the one quarterly dividend. If an amount box does not require an entry, leave it blank