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Cash Dividends

The date of declaration, date of record, and date of payment in connection with a cash dividend of $600,000 on a corporation's common stock are January 1, March 15, and June 14, respectively.

Illustrate the effects on the accounts and financial statements for January 1. If no account or activity is affected, select "No effect" from the dropdown list and leave the corresponding number entry box blank. Enter account decreases and cash outflows as negative amounts.

		Balance Sheet
		Assets	=	Liabilities	+	Stockholders' Equity
		Accounts receivableCashNo effect	=	Accounts payableCash dividends payableNo effect	+	Capital stockRetained earningsNo effect
	Jan. 1.	fill in the blank 4		fill in the blank 5		fill in the blank 6
	Statement of Cash Flows				Income Statement
	FinancingInvestingOperatingNo effect	fill in the blank 8			Cost of merchandise soldNet incomeSalesNo effect		fill in the blank 10

Illustrate the effects on the accounts and financial statements for March 15. If no account or activity is affected, select "No effect" from the dropdown list and leave the corresponding number entry box blank. Enter account decreases and cash outflows as negative amounts.

		Balance Sheet
		Assets	=	Liabilities	+	Stockholders' Equity
		Accounts receivableCashNo effect	=	Accounts payableCash dividends payableNo effect	+	Capital stockRetained earningsNo effect
	Mar. 15.	fill in the blank 14		fill in the blank 15		fill in the blank 16
	Statement of Cash Flows				Income Statement
	FinancingInvestingOperatingNo effect	fill in the blank 18			Cost of merchandise soldNet incomeSalesNo effect		fill in the blank 20

Illustrate the effects on the accounts and financial statements for June 14. If no account or activity is affected, select "No effect" from the dropdown list and leave the corresponding number entry box blank. Enter account decreases and cash outflows as negative amounts.

		Balance Sheet
		Assets	=	Liabilities	+	Stockholders' Equity
		CashCash dividends payableNo effect	=	CashCash dividends payableNo effect	+	Capital stockRetained earningsNo effect
	Jun. 14.	fill in the blank 24		fill in the blank 25		fill in the blank 26
	Statement of Cash Flows				Income Statement
	FinancingInvestingOperatingNo effect	fill in the blank 28