Solved

Hutter Corporation Declared a $0

Question 139

Multiple Choice

Hutter Corporation declared a $0.50 per share cash dividend on its common shares.The company has 20,000 shares authorized,9,000 shares issued,and 8,000 shares of common stock outstanding.The journal entry to record the dividend payment is:


A) Debit Retained Earnings $4,000;credit Common Dividends Payable $4,000.
B) Debit Common Dividends Payable $4,000;credit Cash $4,000.
C) Debit Retained Earnings $4,500;credit Common Dividends Payable $4,500.
D) Debit Common Dividends Payable $4,500;credit Cash $4,500.
E) Debit Retained Earnings $10,000;credit Common Dividends Payable $10,000.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents