The following information has been compiled from the accounting records of Muddy Ltd for the year ended 30 June 2020. Final dividend payable $500,000 - (30/06/2019); $900,000 - (30/06/2020)Retained earnings $7,000,000- (30/06/2019); $8,000,000 - (30/06/2020) During the year ended 30 June 2020, the company declared and paid interim dividend to all ordinary shareholders and issued 500,000 shares at $2.00 per share in cash in March 2020. The management transferred $500,000 from the retained earnings account on 30 June 2020 to set up a property maintenance reserve account in preparation of some major maintenance work suggested by the Health and Safety department. Muddy Ltd reported $3,000,000 profit for the year ended 30 June 2020.

Required:Calculate the amount of interim dividend paid in cash. (3 marks. Show all workings)