Answer Problem and please show all calculations:

On December 31, 2014, Paxson Company had 1,300,000 shares of $5 par common stock issued and outstanding. At December 31, 2013, stockholders' equity had the amounts listed here:

Common Stock $6,500,000

Additional Paid-in Capital $1,800,000

Retained Earnings $1,200.000

Transactions during 2014 and other information related to stockholders' equity accounts were as follows:

1. On Jan. 10, 2014, issued at $107 per share 120,000 shares of $100 par value, 9% cumulative preferred stock.

2. On Feb. 8, 2014 reacquired 15,000 shares of its common stock for $11 per share.

3. On May 9, 2014, declared the yearly cash dividend on preferred stock, payable June 10, 2014, to stockholders' of record on May 31, 2014.

4. On June 8, 2014, declared a cash dividend of $1.20 per share on the common stock outstanding, payable on July 10, 2014, to stockholders of record on July 1, 2014.

5. Net income for the year was $3,600,000.

Prepare journal entries and the prepare the stockholders' equity section of Paxson's balance sheet at December 31, 2014.