Define the Following Dividend Dates for a Cash Dividend

question 263

Essay

Define the following dividend dates for a cash dividend.For each date,state whether a journal entry should be recorded.In addition,if a journal entry should be record,state the effect on assets,liabilities or equity.
$$\begin{array} { | l | l | l | l | } \hline \text { Term } & \text { Definition } & \begin{array} { l } \text { Should an entry be } \\\text { recorded? }\end{array} & \begin{array} { l } \text { If so, what is the effect } \\\text { on the accounting } \\\text { equation? }\end{array} \\\hline \text { Declaration date } & & & \\\hline \text { Date of record } & & & \\\hline \text { Payment date } & & & \\\hline\end{array}$$

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Definitions:

Order Of Relief

An order stating that bankruptcy proceedings can continue.

Voluntary Liquidation

The process initiated by a company's directors to voluntarily close down the business, sell its assets, and use the proceeds to pay off creditors before any remaining surplus is distributed to the shareholders.

Bankruptcy Estate

All legal or equitable interests of the debtor in property at the time of the bankruptcy filing, including all assets.

Prepetition Assets

Assets that an individual or entity possesses before filing for bankruptcy protection.