The board of directors of ROK Corporation declared a cash dividend of $3.00 per share on 60,000 shares of it's $1 par value outstanding common stock on June 14, 2010. The dividend is to be parin on July 15, 2010, to shareholders of record on July 1, 2010.
The proper entry to be recorded on June 14, 2010 will include a:
A. Debit to Dividends Payable for $180,000
B. Debit to Cash Dividends for $180,000
C. Credit to Cash for $180,000
D. Credit to Retained Earnings for $180,000