On March $13$th$,$ The Company declares a $$5\mathrm{.}00$ cash dividend. On March $20$th$,$ the

record date, the Company has $1,000,000$ shares authorized, $250,000$ shares issued,

and $200,000$ shares outstanding. The Company pays the dividend on March $29$th

and closes its books at the end of each calendar quarter. How are the following

accounts affected on March $31$st $($end of the quarter$)?$

Debit $$5,000,000$

Cash

Credit $$5,000,000$

Cash Dividends

Debit $$1,250,000$

Dividends Payable

Credit $$1,250,000$

Retained Earnings

Debit $$1,000,000$

Credit $$1,000,000$

Dividend Expense

No Effect