Gammon, Inc , declared dividends during the current year as follows The current years cash dividend on the 6 percent, $100 par value preferred stock 100,000 shares were outstanding at the time of the declaration A cash dividend of $0 75 per share on the $10 par value common stock 750,000 shares were outstanding at the time of the declaration Prepare the general journal entries to record the declaration and payment of these dividends, assuming the declaration is recorded directly to retained earnings

Question: Gammon, Inc., declared dividends during the current year as follows: The current years cash dividend on the 6 percent, $100 par value preferred stock.

Gammon, Inc., declared dividends during the current year as follows:
• The current year’s cash on the 6 percent, $100 preferred stock. 100,000 shares were outstanding at the time of the declaration.
• A cash of $0.75 per share on the $10 common stock. 750,000 shares were outstanding at the time of the declaration.
Prepare the general journal entries to record the declaration and payment of these dividends, assuming the declaration is recorded directly to retained earnings.

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