West Company declared a $0.50 per share cash dividend. The company has 190,000 shares issued, and 10,000 shares in treasury stock. The journal entry to record the dividend declaration is:

Debit Retained Earnings $90,000; credit Common Dividends Payable $90,000.

Debit Common Dividends Payable $95,000; credit Cash $95,000.

Debit Retained Earnings $95,000; credit Common Dividends Payable $95,000.

Debit Common Dividends Payable $90,000; credit Cash $90,000.

Debit Retained Earnings $5,000; credit Common Dividends Payable $5,000.