Hingutt Cove Corporation has issued 4,000 shares of common stock, all of the same class; 3,500 shares are outstanding and 500 shares are held as treasury stock. On August 15, 2012, Hingutt Cove's board of directors declared a cash dividend of $2.50 per share, payable on September 15, 2012, to stockholders of record on August 31, 2012.
Prepare the required journal entries for August 15, August 31, and September 15, 2012.

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The Answer of Hingutt Cove Corporation has issued 4,000 shares of common stock, all of the same class; 3,500 shares are outstanding and 500 shares are held as treasury stock. On August 15, 2012, Hingutt Cove's board of directors declared a cash dividend of $2.50 per share, payable on September 15, 2012, to stockholders of record on August 31, 2012.
Prepare the required journal entries for August 15, August 31, and September 15, 2012.

Hingutt Cove Corporation Has Issued 4,000 Shares of Common Stock