Recording Dividend Declarations

Following are four separate dividend scenarios.

a. On April 1, Meriter Corporation declared a cash dividend of $5 per share on its 115,200 outstanding shares of common stock ($1 par). The dividend is payable on April 21 to stockholders of record on April 14.

b. Axe Co. has issued and outstanding 3,600 shares of $100 par, cumulative, 5% preferred stock, and also 72,000 shares of $5 par common stock. Dividends are in arrears for the past year (not including the current year). On December 15, the board of directors of Axe Co. declared dividends of $90,000 to be paid to shareholders at the end of its fiscal year.

c. Siri Corp. holds 3,600 shares of Mobile Co. common stock, purchased at the beginning of the year for $30 a share (which is the carrying value on February 1). On February 1, Siri Corp. declared a property dividend of 1,620 shares of Mobile Co. common stock when the Mobile Co. shares were selling at $28 per share.

d. Treck Corporation declared a common stock dividend of $162,000 on April 1. Treck Corporation announced to shareholders that 70% of the dividend amount was a return of capital.

Required Record the entry(ies) for the declaration of dividends for each of the four separate scenarios.