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Business, 05.05.2020 07:47, haileysolis5
A company's board of directors votes to declare a cash dividend of $1.00 per share on its 12,000 common shares outstanding. The journal entry to record the declaration of the cash dividend is:
A. Debit Dividend Expense $12,000; credit Cash $12,000
B. Debit Dividend Expense $12,000; credit Common Dividend Payable $12,000
C. Debit Common Dividend Payable $12,000; credit Cash $12,000
D. Debit Retained Earnings $12,000; credit Common Dividend Payable $12,000
E. Debit Common Dividend Payable $12,000; credit Retained Earnings $12,000.
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Answers: 2
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