Marion Corporation was organized in January 2000. The state authorized 200,000 shares of no-par common stock and 100,000 shares of 10 percent, $\$ 10$ par, preferred stock. Record the following transactions that occurred in 2000.

a. Issued 20,000 shares of common stock at $\$ 20$ per share.

b. Issued 8,000 shares of preferred stock for a piece of land appraised at $\$ 90,000$.

c. Declared a cash dividend sufficient to meet the current-dividend preference on preferred stock and paid common shareholders $\$ 1$ per share.

d. How would your answer to

(c) change if the dividend declared were not sufficient to meet the current-dividend preference on preferred stock?