On december 31,Springer ,Inc. has 3,000 shares of 6%$100 par value cumulative preferred stock and 45,000 shares of $10 par value common stock outstanding.On december 31,2010,the directors declare a $12,000 cash dividend.The entry to record the declaration of the dividend would include ?
a)a credit of $6,000 to retaind earnings
b)a note in the financial statments that dividends of $6 per share are in arrears on preferred stock for 2010
c)a debit of $12,000 to common stock
d)a credit of $12,000 to dividends payable