When the Board of Directors Declares and Pays a $500

question 58

Multiple Choice

When the board of directors declares and pays a $500 dividend, which of the following would be included in the resulting journal entry?

• A)Dr.Retained earnings, Cr.Cash
• B)Dr.Cash, Cr.Retained Earnings
• C)Dr.Retained Earnings, Cr.Dividends declared
• D)Dr.Cash, Cr.Dividends payable

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