The Appropriate Accounting Entry to Record the Declaration of a Bonus

question 47

Multiple Choice

The appropriate accounting entry to record the declaration of a bonus share issue out of the Revaluation Surplus account is which of the following?

• A) DR Bonus dividend CR Revaluation surplus
• B) DR Revaluation surplus CR Cash
• C) DR Revaluation surplus CR Share capital
• D) DR Cash CR Share capital

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Definitions:

Ankle Bones

The bones that form the joint connecting the foot to the leg, including the tibia, fibula, and talus.

Nasal Cavity

The large air-filled space above and behind the nose in the middle of the face, involved in breathing and smelling.

Wrist

The joint connecting the hand to the forearm, allowing for a wide range of motion and flexibility.

Marble-Sized

Describes an object or mass that is about the same size as a marble, indicating a small, round shape approximately 1/2 inch to 1 inch in diameter.