On May 1, 2016, Love Corporation declared a $50,000 cash dividend to be paid on May 31

Question:

On May 1, 2016, Love Corporation declared a $50,000 cash dividend to be paid on May 31 to shareholders of record on May 15.

Required

a. Record the events occurring on May 1, May 15, and May 31 in a horizontal statements model like the following one. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA).

On May 1, 2016, Love Corporation declared a $50,000 cash

b. Prepare journal entries for all events associated with the dividend.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...