Cash Dividends Bernard Corporation has the following shares outstanding: 8,000 shares of $50 par value, six percent preferred stock and 50,000 shares of $1 par value common stock. The company has $328,000 of retained earnings. At year-end, the company declares its regular $3 per share cash dividend on the preferred stock and a $2.20 per share cash dividend on the common stock. Three weeks later, the company pays the dividends. a. Prepare the journal entry for the declaration of the cash dividends. b. Prepare the journal entry for the payment of the cash dividends. General Journal Credi Ref. Description Debit t AnswerCash DividendsDividends Payable - Preferred Stock Dividends Payable - Answ Answ a. a Common StockCash er er AnswerCash DividendsDividends Payable - Preferred StockDividends Payable- Answ Answ Common StockCash er er Answ Answ Dividends Payable - Common Stock er er To record declaration of dividend on preferred stock andcommon stock. AnswerCash Dividends Dividends Payable - Preferred StockDividends Payable- Common StockCash b. er er Answ Answ Dividends Payable - Common Stock er er AnswerCash DividendsDividends Payable - Preferred StockDividends Payable - Answ Answ Common StockCash er er To record payment of dividends on preferred and common stocks