Jameson Company Earned Net Income of $75,000 During the Year

question 63

Essay

Jameson Company earned net income of $75,000 during the year ended December 31,2018.On December 20,Jameson declared the annual cash dividend on its 8% noncumulative preferred stock (par value,$150,000)and a $0.50 per share cash dividend on its common stock (45,000 shares).Jameson then paid the dividends on January 10,2019.
Prepare the journal entries to record the declaration and the distribution of the dividends.Explanations are not required.

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Definitions:

Global Brand

A brand marketed under the same name in multiple countries with similar and centrally coordinated marketing programs.

Centrally Coordinated

Managed or organized by a central authority or location, ensuring consistency and uniformity across operations or activities.

Marketing Programs

Structured plans composed of various strategies and activities aimed at achieving specific marketing objectives.

Global Brand

A brand that is recognized and available in multiple countries across the world.