On December 31, 2015, Stock, Inc. has 4,000 shares of 6% $100 par value cumulative preferred stock and 60,000 shares of $10 par value common stock outstanding. On December 31, 2015, the directors declare a $20,000 cash dividend. The entry to record the declaration of the dividend would include: a credit of $4,000 to Cash Dividends. a credit of $20,000 to Dividends Payable. a debit of $20,000 to Common Stock. a note in the financial statements that dividends of $4 per share are in arrears on preferred stock for 2015