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Question
Marjam Company owns 51,000 shares of MacKenzie Company's 100,000 outstanding shares of common stock. MacKenzie Company pays $25,000 in total cash dividends to its shareholders. Marjam's entry to record this transaction should include a:
A) Credit to Dividend Revenue for $25,000.
B) Credit to Long-Term investments for $12,750.
C) Credit to Long-Term Investments for $25,000.
D) Debit to Dividend Revenue for $12,750.
E) Debit to Interest Revenue for $12,750.
Answer
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