Calculating and Recording Cash Dividends

On January 27, 2016, McDonald's Board of Directors declared a quarterly cash dividend of $0.89 per share of common stock payable on March 15, 2016, to shareholders of record at the close of business on March 1, 2016. Assume that there were 906 million shares outstanding during this time period.

Use the financial statement effects template to record the transactions for the following dates:

a. January 27, 2016.

b. March 1, 2016

c. March 15, 2016