Using the Cost Method of Accounting for a Stock Investment

question 141

True/False

Using the cost method of accounting for a stock investment, the journal entry to record the receipt of dividends involves a credit to Dividend Revenue.

---

Definitions:

Natural Power

Refers to the inherent abilities or forces within nature that can be harnessed for various uses, such as wind, solar, and hydro power.

Ecological Terms

Vocabulary or language pertaining to ecology, the branch of biology that deals with the relationships between living organisms and their environment.

Active Involvement

Participation that is engaged, enthusiastic, and committed, particularly within a task or process.

Supervision

The act of overseeing the performance and activities of individuals or groups to ensure standards are met and objectives are achieved.