The board of directors of Stout Back Corporation declared a cash dividend of $2.50 per share on 57,000 shares of common stock on June 14, 2020.

The dividend is to be paid on July 15, 2020, to shareholders of record on July 1, 2020.

Required:

AShow necessary journal entries to record the above on June 14, July 1, and July 15th.[3 points]

BShow the adjustment entry at the end of the accounting year ending December 31, 2020.[4 points]

CAssuming the beginning retained earnings balance was $140,000, and reported net income during the year was $220,000. Determine the retained earnings balance to be shown on the balance sheet at the end of the year. [3 points