At the End of the Year a Company Declared a Final

question 49

Multiple Choice

At the end of the year a company declared a final cash dividend out of its retained earnings. The correct journal entry to record this declaration is:

• A) DR Cash; CR Final dividend payable
• B) DR Retained earnings; CR Final dividend payable
• C) DR Final dividend payable; CR Cash
• D) DR Share capital; CR Final dividend payable

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Definitions:

Flat Affect

A severe reduction in emotional expressiveness, often characterized by a lack of facial expressions or intonation in speech.

Apathy

A lack of interest, enthusiasm, or concern about anything or the absence of any wish to do anything, often observed as a symptom in various psychological disorders.

Loss of Motivation

A decrease or absence in the desire or willingness to perform actions or achieve goals, often associated with depression or other mental health issues.

Hypochondriasis

An anxiety disorder characterized by excessive preoccupation with the belief of having a serious, undiagnosed medical illness.