t eBook B Show Me How Calculator Entries for cash dividends

t# eBook B: Show Me How Calculator Entries for cash dividends tructions Chart of Accounts Instructions The declaration, record, and payment dates in connection with a cash ividend of $516,000 on a corporation\'s common stock are June 15, August 10, and September 15. Journalize the entries required on each date. If no entry is required, simply skip to the next transaction. Refer to the Chart of Accounts for exact wording of account tities

Solution

Date Account titles and explanation Debit Credit June 15 Retained Earning $       5,16,000 Dividend Payable $       5,16,000 (To record dividend payable on September 15 to stockholders of record date of August 10) September 15 Dividend Payable $       5,16,000 Cash $       5,16,000 (To record payment of dividend liability) Note: No entry is made for record date.