On October $1,$ Allison Corporation declared a $$70,000$ cash dividend to be paid on December $15$ to shareholders of record on November $1.$ Which of the following shows how Allison$$s financial statements will be affected on October $1?$ The letters $$NA$$ and $$FA$$ indicate that the component of the equation is $$Not Affected$$ and $$Financing Activities$$ respectively.

Multiple Choice

Balance SheetIncome StatementStatement of Cash FlowsAssets$=$Dividends Payable$+$Common Stock$+$Retained EarningsRevenues$$Expenses$=$Net Income$$(70,000)$$$(70,000)$NA$$NANA$$NA$$NA$$(70,000)$ FA

Balance SheetIncome StatementStatement of Cash FlowsAssets$=$Dividends Payable$+$Common Stock$+$Retained EarningsRevenues$$Expenses$=$Net IncomeNA$$NA$$NA$$NANA$$NA$$NANA

Balance SheetIncome StatementStatement of Cash FlowsAssets$=$Dividends Payable$+$Common Stock$+$Retained EarningsRevenues$$Expenses$=$Net IncomeNA$70,000$NA$(70,000)$NA$$NA$$NA$$(70,000)$ FA

Balance SheetIncome StatementStatement of Cash FlowsAssets$=$Dividends Payable$+$Common Stock$+$Retained EarningsRevenues$$Expenses$=$Net IncomeNA$70,000$NA$(70,000)$NA$$NA$$NANA