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The board of directors of  Elston  Inc. declared a $0.60 per share cash dividend on its $1 par common stock. On the date of declaration, there were 50,000 shares authorized, 20,000 shares issued, and 5,000 shares held as treasury stock. What is the entry for the dividend declaration?   A. Retained earnings 9,000      Cash dividends payable   9,000         B. Retained earnings 9,000     Cash   9,000         C. Retained earnings 10,000      Cash dividends payable   10,000         D. Retained earnings 10,000     Cash   10,000

The board of directors of  Elston  Inc. declared a $0.60 per share cash dividend on its $1 par common stock. On the date of declaration, there were 50,000 shares authorized, 20,000 shares issued, and 5,000 shares held as treasury stock. What is the entry for the dividend declaration?   A. Retained earnings 9,000      Cash dividends payable   9,000         B. Retained earnings 9,000     Cash   9,000         C. Retained earnings 10,000      Cash dividends payable   10,000         D. Retained earnings 10,000     Cash   10,000

Principles of Accounting Volume 1
Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter14: Corporation Accounting
Section: Chapter Questions
Problem 11EA: Nutritious Pet Food Companys board of directors declares a cash dividend of $1.00 per common share...
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The board of directors of  Elston  Inc. declared a $0.60 per share cash dividend on its $1 par common stock. On the date of declaration, there were 50,000 shares authorized, 20,000 shares issued, and 5,000 shares held as treasury stock. What is the entry for the dividend declaration?
 
A.
Retained earnings
9,000
 
 
 Cash dividends payable
 
9,000
 
 
 
 
B.
Retained earnings
9,000
 
 
Cash
 
9,000
 
 
 
 
C.
Retained earnings
10,000
 
 
 Cash dividends payable
 
10,000
 
 
 
 
D.
Retained earnings
10,000
 
 
Cash
 
10,000
 
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