Preferred Stock

To expand their marketing, Terry needed to raise more capital. Thus, on June 30th year 3, Terry issued 10,000 shares of 5% $100 par noncumulative nonparticipating preferred stock for $125 per share. Of these 10,000 shares, Terry included a conversion feature in 2,000 of these shares. This conversion feature allows the investor to convert 1 share of preferred stock into 6 shares of common stock at will.

Share Repurchase

Later in year 3, on November 15 when a market change significantly dropped stock prices, Terrys Board voted to repurchase 8,000 shares of common stock. The stock price on the day of the purchase was $8.00/share. Terry company prefers to use the Treasury stock method.

Preferred Dividends

At December 31st , year 3 Terry declared and paid a preferred dividend of $2.50 per share. As of December 31st , year 3 no preferred shareholders had converted their stock into common stock. Note that earlier in year 3, on March 31st, Terry had declared and paid $200,000 in dividends to common shareholders. This dividend to common shareholders was correctly reported and is already reflected in the preliminary financial statements.

Need the journal entries for each of these 3 problems. Thanks