When a Dividend Is Declared by the Board of Directors

question 43

Multiple Choice

When a dividend is declared by the board of directors, the source for determining who should receive dividend checks is the

• A) shareholders' capital stock master file.
• B) stock certificate books.
• C) common stock account in the general ledger.
• D) corporate directory.

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Definitions:

Weighted-Average Method

An approach used in cost accounting to assign a cost to inventory on the basis of the average cost of all similar items held, considering their weight.

Weighted-Average Method

Weighted-Average Method is an inventory costing method that averages the cost of inventory items to assign costs to sold and unsold units.

First Processing Department

The initial stage in a manufacturing process where raw materials begin their transformation into finished products.

Work in Process Inventory

The inventory account that tracks the costs of materials, labor, and overhead for products that are in the process of being manufactured but are not yet completed.