Where a Subsidiary Has Declared but Not Paid a Dividend

question 11

Multiple Choice

Where a subsidiary has declared but not paid a dividend on a cum-dividend basis on acquisition date,the amount of the dividend must be recorded by the parent company as:

• A) revenue.
• B) a reduction in the cost of the investment.
• C) a reduction in the amount of goodwill on consolidation.
• D) none of the above,

---

Definitions:

Sexually Transmitted Infections

Infections transmitted through sexual contact, caused by bacteria, viruses, or parasites.

Consuming Alcohol

The act of drinking beverages that contain ethanol, which is a psychoactive substance.

Risk Of Harm

The potential for actions, situations, or substances to cause physical, emotional, or psychological injury or damage.

College Administrators

Individuals who manage the operational aspects of colleges and universities, such as admissions, finance, and student services.