Use the Following Information for Questions

question 43

Multiple Choice

Use the following information for questions
On July 15, 2022, the board of directors of George Easton Limited declared a cash dividend of $0.50 per share on 84,000 common shares.The dividend is to be paid on August 15, 2022, to shareholders of record on July 31, 2022.
-The effects of the journal entry to record the payment of the dividend on August 15, 2022, are to

• A)decrease shareholders' equity and decrease liabilities.
• B)decrease liabilities and decrease assets.
• C)increase shareholders' equity and increase liabilities.
• D)increase shareholders' equity and decrease assets.

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Definitions:

Subordinate Ratings

Evaluations of a superior's performance or qualities made by individuals who report directly to them, often used in 360-degree feedback mechanisms.

Supportive And Fair

A leadership approach characterized by providing encouragement, resources, and equitable treatment to all members of an organization.

Exchange Relationship

A social relationship based on reciprocal actions where each party provides something of value to the other.

Role Clarity

The extent to which individual roles and responsibilities within an organization or group are clearly defined and understood.