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Question
A company declared a $0.50 per share cash dividend. The company has 20,000 shares authorized, 9,000 shares issued, and 8,000 shares of common stock outstanding. The journal entry to record the dividend declaration is:
A.
| Retained Earnings | 4,000 | |
| Common Dividends Payable | 4,000 |
B.
| Common Dividends Payable | 4,000 | |
| Cash | 4,000 |
C.
| Retained Earnings | 4,500 | |
| Common Dividends Payable | 4,500 |
D.
| Common Dividends Payable | 4,500 | |
| Cash | 4,500 |
E.
| Retained Earnings | 5,000 | |
| Common Dividends Payable | 5,000 |
Answer
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Related questions
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Q:
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