On January 2, Year 7, a company's board of directors declared a cash dividend of $450,000 to shareholders of record on February 9, Year 7, payable on March 15, Year 7. The dividend is permissible under law in the company's state of incorporation. However, on January 2, Year 7 the retained earnings account has a credit balance of $300,000. What is the correct journal entry on January 2. Year 7? RETAINED EARNINGS 300,000 APIC 150,000 DIVIDENDS PAYABLE 450,000 RETAINED EARNINGS 300,000 APIC 150,000 CASH 450,000 RETAINED EARNINGS 450,000 DIVIDENDS PAYABLE 450,000 RETAINED EARNINGS 300,000 APIC 450,000 DIVIDENDS PAYABLE 450,000