On September 20, 2011, Nozzle Corporation declared the distribution of the following dividend to its stockholders of record as of September 30, 2011:

The entry to record the declaration of the property dividend would include a debit to Retained Earnings of

Question

On September 20, 2011, Nozzle Corporation declared the distribution of the following dividend to its stockholders of record as of September 30, 2011:

The entry to record the declaration of the property dividend would include a debit to Retained Earnings of

Quizplus · Accepted Answer

The entry to record the declaration of a property dividend includes a debit to Retained Earnings for the fair value of the property to be distributed. The fair value of the property is $1,450,000, based on the information provided in the question. Therefore, the correct answer is B) $1,450,000.

On September 20, 2011, Nozzle Corporation Declared the Distribution of the Following