On March 1, Year 1, Gilmore Incorporated Declared a Cash

Multiple Choice

On March 1, Year 1, Gilmore Incorporated declared a cash dividend on its 1,500 outstanding shares of $50 par value, 6% preferred stock. The dividend will be paid on May 1, Year 1 to the stockholders of record as of April 1, Year 1.How will the entry to record the dividend on March 1 affect the financial statements?

A) Choice A
B) Choice B
C) Choice C
D) Choice D