Awn Services Paid a Dividend of $8,700 During the Current $$\begin{array} { | c | r | r | } \hline \text { Dividends } & 8,700 & \\\hline \text { Cash } & & 8,700 \\\hline\end{array}$$

question 187

Multiple Choice

Awn Services paid a dividend of $8,700 during the current year.The entry to close the dividend account at the end of the year is:

• A)
• \[\begin{array} { | c | r | r | }
• \hline \text { Dividends } & 8,700 & \\
• \hline \text { Cash } & & 8,700 \\
• \hline
• \end{array}\]
• B)
• \[\begin{array} { | c | c | c | }
• \hline \text { Retained earnings } & \mathbf { 8 } , 700 & \\
• \hline \text { Dividends } & & \mathbf { 8 , 7 0 0 } \\
• \hline
• \end{array}\]
• C)
• \[\begin{array} { | l | r | r | }
• \hline \text { Dividends } & 8,700 & \\
• \hline \text { Retained earnings } & & 8,700 \\
• \hline
• \end{array}\]
• D)
• \[\begin{array} { | c | c | c | }
• \hline \text { Common Stock } & 8,700 & \\
• \hline \text { Dividends } & & 8,700 \\
• \hline
• \end{array}\]
• E)
• \[\begin{array} { | c | c | c | }
• \hline \text { Income Summuary } & 8,700 & \\
• \hline \text { Retained earnings } & & 8,700 \\
• \hline
• \end{array}\]

---

Definitions:

Semantic Processing

A cognitive process that involves the understanding of words and sentences by the brain.

Nonsense Syllables

Meaningless sets of two to three letters that do not follow standard word formation rules, used in memory and learning experiments.

Semantic

Related to the meanings of words and phrases in language, as well as the study of meaning in communication.

Shallow Processing

A method of information processing that involves minimal thought and focuses on surface details such as the appearance or sound of words.