The Board of Directors of Benson Company Declared a Cash

question 127

Multiple Choice

The board of directors of Benson Company declared a cash dividend of $1.50 per share on 42,000 shares of common stock on July 15, 2014. The dividend is to be paid on August 15, 2014, to stockholders of record on July 31, 2014. The correct entry to be recorded on August 15, 2014, will include a

• A) debit to Cash Dividends.
• B) credit to Cash Dividends.
• C) credit to Dividends Payable.
• D) debit to Dividends Payable.

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Definitions:

Policies

Guidelines or principles that govern the operations, decisions, and actions within an organization.

New Assignments

Tasks or projects that are allocated to an individual or team for the first time.

Coordinated

Involves the organized and harmonious action of different elements or parts working together effectively.

Resources

Assets, materials, or capabilities, including human skills, that are available to an individual, organization, or society to achieve specific goals.