On November 1,2017,McEwing,Inc

question 141

Multiple Choice

On November 1,2017,McEwing,Inc.declared a dividend of $5.00 per share.McEwing,Inc.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 30,2017.Which of the following is the journal entry needed on November 30,2017?

• A)Debit Cash Dividends $100,000,and credit Dividends Payable-Common $100,000.
• B)Debit Dividends Payable-Common $100,000,and credit Cash $100,000.
• C)Debit Cash $100,000,and credit Dividends Payable-Common $100,000.
• D)Debit Cash Dividends $100,000,and credit Cash $100,000.

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Definitions:

Substitute Good

A product or service that serves as an alternative to another, where an increase in the price of one leads to an increase in demand for the other.

Union Wages

Wages that are negotiated by labor unions on behalf of their members, often resulting in higher pay and better benefits than non-union wages.

Employment Decline

A reduction in the number of jobs or the rate of employment in a particular sector or economy.

Elastic Demand

A state in which the quantity demanded of a product is highly responsive to changes in its price.