ANS, Inc has 50,000 shares of common stock outstanding and 2,000 shares of preferred stock outstanding

The common stock has a $1.00 par value. The preferred stock has a $100 par value, a 5% dividend rate, and is noncumulative. On October 31, 2017, the company declares the annual preferred dividend and dividends of $0.25 per share for common. Prepare the journal entry for the declaration of dividends.
What will be an ideal response

Cash Dividend 22,500
Dividends Payable—Preferred 10,000
Dividends Payable—Common 12,500 .Dividends to preferred stockholders = 2,000 x (100 x 5%) = 10,000
Dividends to common stockholders = 50,000 x $0.25 = $12,500