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On May 1, Year 1, Love Corporation declared a $62,300 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. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA). Use NA to indicate that an element was not affected by the event. (Amounts to be deducted should be indicated with minus sign.) Balance Sheet Income Statement Cash Flow Date Assets Liabilities + Common Stock + Retained Earnings Revenue Expense Net Income = + + - May 1 May 15 May 31 + + + + Journal entry worksheet The shareholders on record on May 15 will receive a dividend payment to be paid May 31. Note: Enter debits before credits. Date General Journal Debit Credit May 15 Journal entry worksheet On May 31, the dividends are paid to the shareholders of record on May 15. Note: Enter debits before credits. Date General Journal Debit Credit May 31 Record entry Clear entry View general journal Journal entry worksheet 1 2 4 On December 31, the closing entry for dividends is recorded. Note: Enter debits before credits. Date General Journal Debit Credit December 31 Record entry Clear entry View general journal

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