Wayne Enterprises declared annual cash dividends of $10 million, $12 million, and $50 Million in its first three years of operation-2017, 2018, and 2019 respectively. Wayne also had $200 million of outstanding, cumulative and nonparticipating, preferred shares that yield 10%. What is the journal entry associated with the Ex-Dividend date for 2019?

Multiple Choice

• Debit Retained Earnings $12,000,000 Credit Dividends Payable $12,000,000

• Debit Retained Earnings $50,000,000 Credit Dividends Payable $50,000,000

• None of the above

Debit Retained Earnings $10,000,000 Credit Dividend Payable $10,000,000