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An Investor Owns Passive Equity Investments in Noah Company  Cash 300 Dividends Receivable 300\begin{array}{lrr} \text { Cash } &300\\ \text { Dividends Receivable } &&300\\\end{array}

question 64

Short Answer

An investor owns passive equity investments in Noah Company. Noah Company declared dividends of $300 during July. What entry is required in August when the dividends are received?
a.
 Cash 300 Dividends Receivable 300\begin{array}{lrr} \text { Cash } &300\\ \text { Dividends Receivable } &&300\\\end{array}

b.
 Dividends Receivable 300 Short-term Equity Investments300\begin{array}{lrr} \text { Dividends Receivable } &300\\ \text { Short-term Equity Investments} &&300\\\end{array}

c.
 Dividends Receivable300 Dividend Revenue 300\begin{array}{lrr} \text { Dividends Receivable} &300\\ \text { Dividend Revenue } &&300\\\end{array}

d.
Cash 300 Trading Securities 300\begin{array}{lrr} \text {Cash } &300\\ \text { Trading Securities } &&300\\\end{array}

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Definitions:

Qi Gong

A holistic system of coordinated body posture and movement, breathing, and meditation used for health, spirituality, and martial arts training.

Conventional Medicine

A system of medicine based on the diagnosis and treatment of diseases using drugs, surgery, and other traditional methods.

Alternative Treatments

Therapeutic practices that are not part of mainstream medical care, often used alongside conventional treatments or when standard therapies have not been effective.

Fringe

Elements or groups considered to be on the margins or edge of mainstream society or a particular field.

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