Simon, Inc., declared dividends during the current year as follows.

The current years cash dividend on the 8 percent, $100 par value preferred stock. 100,000 shares were outstanding at the time of the declaration.

A cash dividend of $0.60 per share on the $5 par value common stock. 750,000 shares were outstanding at the time of the declaration.

Prepare the general journal entries to record the declaration and payment of these dividends, assuming the declaration is recorded directly in retained earnings. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

1.Record dividends declared on preferred and common stock. 2.Record payment of dividends. 3.Description