On October 1, 2016, Nicholes Corporation declared a $50,000 cash dividend to be paid on December 15 to shareholders of record on November 1.
a. Record the events occurring on October 1, November 1, and December 15 in a horizontal statements model like the following one. In the Cash Flow column, indicate whether the item is an operating activity (OA), investing activity (IA), or financing activity (FA).
b. Prepare journal entries for all events associated with the dividend.