Michael Inc. is authorized to issue 50,000 shares of $50 par value, 8% cumulative, preferred stock and 750,000 shares of $5 par value common stock. Please prepare journal entries to record the following transactions that occurred during the first year of operations:

A. Jan. 10 sold 96,000 shares of common stock for $10 a share.

B. on December 1, declared $1.00 per share cash dividend on 96,000 shares common stock outstanding.

C. December 15, cash dividend date of record:

D. on January 1 the cash dividend was paid to shareholders.