Use This Information to Answer the Following Question The Entry to Record the Receipt of the Cash Dividend

question 59

Multiple Choice

Use this information to answer the following question.These facts concern the long-term stock investments of Webster Corporation: $\begin{array}{ll}\text { June 1, } 2012 & \text { Pand cash for the followng long-term investments: } 5,000 \text { shares Wayne } \\& \text { Corporation common stock (representing } 5 \text { percent of outstanding stock) at } \\& \$ 40 \text { per share; } 3,000 \text { shares Upshur Corporation common stock (representing } \\&\text { percent of outstanding stock) at } \$ 24 \text { per share. } \\\text { Dec. } 31,2012 & \text { Quoted market prices at year end: Wayne common stock, } \$ 35 \text {; Upshur }\\& \begin{array}{l}\text { common stock, } \$ 27 .\end{array} \\\text { April 1, } 2013 & \begin{array}{l}\text { A change in policy required the sale of 1,000 shares of Wayne Corporation } \\\text { common stock at } \$ 38 .\end{array} \\\text { July 1, 2013 } & \begin{array}{l}\text { Received a cash dividend from Upshur Corporation equal to } \$ .30 \text { per share. }\end{array} \\\text { Dec. 31, 2013 } & \begin{array}{l}\text { Quoted market prices at year end: Wayne common stock, } \$ 39 \text {; Ushur } \\\text { common stock } \$ 22 .\end{array}\end{array}$
The entry to record the receipt of the cash dividend from Upshur Corporation is:

• A) Investment in Upshur Corporation 900
• Cash 900
• B) Cash 900
• Dividend Income 900
• C) Dividend Income 900
• Cash 900
• D) Cash 900
• Investment in Upshur Corporation 900

---

Definitions:

Problem Solver

An individual or tool that identifies, analyzes, and finds solutions for complex or simple issues.

Linguistic-Relativity Hypothesis

The theory that the structure of a language affects its speakers' world view or cognition, suggesting that language and thought are intertwined in complex ways.

Semanticity

The quality of language by which words and symbols have meaning and can be used to communicate complex ideas.

Multiple Intelligences

A theory proposed by Howard Gardner, suggesting that individuals possess a variety of intelligences (such as linguistic, logical-mathematical, musical, etc.) rather than a single general intelligence.