It Is August 14^th and John Has Just Purchased 100

It is August 14^th and John has just purchased 100 shares of Cash Cow Inc. for $1,200 with a settlement date of August 16^th. Cash Cow recently declared a dividend of $1.00 per share payable to shareholders of record as of August 15^th. How much money did John pay for the right to the recently declared dividend?

A) John paid $100.00 for the dividend because he purchased the stock prior to the dividend record date.
B) John paid $50.00 for the dividend because the record date was between purchase date of August 14^th and the settlement date of August 16^th. Therefore, the dividend payment is shared equally between the previous owner of the stock and John.
C) John paid $0.00 for the dividend because he was not the shareholder of record on August 15^th. Therefore, the dividend payment went to the previous owner of the stock.
D) This is a complicated issue and not easily answered. Thus, there is not enough information to answer this question.