On November 1, 2013, Oster Company Declared a Dividend of $3.00

question 74

True/False

On November 1, 2013, Oster Company declared a dividend of $3.00 per share. Oster Company has 20,000 shares of common stock outstanding, and no preferred stock. The date of record is November 15, and the payment date is November 30, 2013. No journal entry is made on the date of record.

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Definitions:

Sole Proprietorship

A business structure where a single individual owns, operates, and is personally responsible for all aspects of the business.

Legal Structure

The legal organization of a company, determining its legal personality, liability, and taxation methods. Examples include sole proprietorship, partnership, corporation, and LLC.

C Corporation

A business structure where the company is taxed separately from its owners, offering limited liability protection to its shareholders.

Legally Liable

The state of being legally responsible for something, typically involving a financial or other obligation.