For each of the following statements regarding dividends, indicate whether it is true or false. (You may select more than one answer.Single click the box with the question mark to produce a check mark for a correct answer and double click the box with thequestion mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded asincorrect.)The date of payment reflects the date a cash dividend is paid to stockholders.? A stock dividend Increases the number of outstanding shares.? The account Pald-in Capital in Excess of Par Value is always credited when a large stock dividend is declared.? A large stock dividend is a distribution of more than 25% of previously outstanding shares.

Out of the profit earned by the business entities, some of the profit is retained by the business…

Answered: For each of the following statements…

Financial Reporting, Financial Statement Analysis and Valuation

8th Edition

ISBN:9781285190907

Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw

Chapter7: Financial Activities

Section: Chapter Questions

Problem 2CIC

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For each of the following statements regarding dividends, indicate whether it is true or false. (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.)check all that apply Cash and stock dividends reduce retained earnings.unanswered Dividends payable is recorded at the time a cash dividend is declared.unanswered The date of record is the date a cash dividend is paid to stockholders.unanswered Stock dividends help keep the market price of stock affordable.unanswered
Look at the pic. I already picked the answer. I want you to explain why is that the answer? Compare your answer with this explanation: The journal entry to record the declaration of the cash dividends involves a decrease (debit) to Retained Earnings (a stockholders' equity account) and an increase (credit) to Cash Dividends Payable (a liability account).
Indicate whether statements regarding dividends is true or false. The date of record is the date a cash dividend is paid to stockholders.
(Equity Items on the Balance Sheet) The following are selected transactions that may affect stockholders’ equity.1. Recorded accrued interest earned on a note receivable.2. Declared a cash dividend.3. Declared and distributed a stock split.4. Approved a retained earnings restriction.5. Recorded the expiration of insurance coverage that was previously recorded as prepaid insurance.6. Paid the cash dividend declared in item 2 above.7. Recorded accrued interest expense on a note payable.8. Declared a stock dividend.9. Distributed the stock dividend declared in item 8.InstructionsIn the following table, indicate the effect each of the nine transactions has on the financial statement elements listed. Use the following code: I = Increase, D = Decrease, NE = No effect. Item Assets Liabilities Stockholders’Equity Paid-inCapital RetainedEarnings NetIncome
The following are selected transactions that may affect stockholders’ equity. 1. Recorded accrued interest earned on a note receivable. 2. Declared a cash dividend. 3. Declared and distributed a stock split. 4. Approved a retained earnings restriction. 5. Recorded the expiration of insurance coverage that was previously recorded as prepaid insurance. 6. Paid the cash dividend declared in item 2 above. 7. Recorded accrued interest expense on a note payable. 8. Declared a stock dividend. 9. Distributed the stock dividend declared in item 8. Instructions In the following table, indicate the effect each of the nine transactions has on the financial statement elements listed. Use the following code: I = Increase, D = Decrease, NE = No effect. Item Assets Liabilities Stockholders’ Equity Paid-in Capital Retained Earnings Net Income 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00 00…
Determining the effects of cash dividends, stock dividends, and stock splits Complete the following chart by inserting a check mark (√) for each statement that is true.
Which event does not require a journal entry? O All of these events require a journal entry O The declaration date of a cash dividend O The record date of a cash dividend O The payment date of a stock dividend O The payment date of a cash dividend
Identify the financial statements on which each of the following items (titles, date descriptions, and accounts) appears by placing a checkmark in the appropriate column. If an item appears on more than one statement, place a checkmark in every applicable column. Item Income Statement Statement of Change in Stockholder Equity Balance Sheet Statement of Cash Flows Financing Activities Ending common stock Interest expense As of (date) Land Beginning cash balance Notes payable Beginning common stock Service revenue Utility expense Stock issue Operating activities For the period ended (date) Net income Investing activities Net loss Ending cash balance Salary expense
I have a couple of questions that are related. Please answer thoroughly. Thanks!1) Are all accounts on the Income Statement temporary accounts? Are they DR or CR?2) There are several types of Dividends as I understand such as Dividends Delivered. Could you please list all Dividend type accounts and what each one is (like give an example), also are they temporary accounts? Do they only appear on Statement of Retained Earnings?
Margot and Orlando are trying to understand when to record journal entries for dividends. Which of the following dates related to dividends require(s) a journal entry? Select all that apply. Date of record Ex-Dividend Date Date of payment Date of declaration L
Statement of Income Statement Changes In Stockholders' Equity Item Statement of Balance Sheet Cash Flows Financing activities Ending common stock Interest expense As of (date) Land Beginning cash balance Notes payable Beginning common stock Service revenue Utility expense Stock issued es Operating activities For the Period Ended (Date) Net income Investing activities Net loss Ending cash balance Salary expense Consulting revenue Dividends 口□□L UU□L ■ㄩ□□□□□□□□
For cash dividends, the journal entry on the date of recorda. debits Retained Earnings and credits Dividends Payable.b. debits Dividends Payable and credits Cash.c. debits Dividends and credits Cash.d. No journal entry is required on the date of record

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