On June 1 (date of declaration), the company's board of directors announce the
intention to pay a $0.50 per share dividend on the 1,000,000 outstanding shares of
common stock to the stockholders of record on June 15. The payment date for the
cash dividend is June 30. What account and amount would we credit when we record
the journal entry on the date of payment?
O dividends, $500,000
dividends payable, $500,000
cash, $500,000
O no entry required
