Exercise 10-56 (Algorithmic) Cash Dividends on Common Shares Wildebeest Corp. is authorized to issue an unlimited number of common shares. At the beginning of 2018, Wildebeest had 318,800 issued and outstanding shares. On July 2, 2018, Widebeest repurchased 1,310 shares of common shares. On March 1 and September 1, Wildebeest declared a cash dividend of $1.10 per share. The dividends were paid on April 1 and October 1. Required: 1. Prepare the entries to record the declaration of the two cash dividends. 2018 Mar 1 Retained Earnings (or Dividends) - Dividends Payable (Record Rability for dividends) Sept. 1 Retained Earnings (or Dividends) Dividends Payable (Record liability for dividends) 1. Dividends become an obligation to the company on the date of declaration See Comerstone 10-3 Learning Objective 3 2. Prepare the entries to record the payment of the two dividends. 2018 Apr, 1 Dividends Payable Cash