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Nagen Company Had These Transactions Pertaining to Share Investments: Feb

Question 68

Multiple Choice

Nagen Company had these transactions pertaining to share investments: Feb. 1 Purchased 2,000 shares of Horton Company (10%) for ₤34,000 cash.
June 1 Received cash dividends of ₤2 per share on Horton shares.
Oct) 1 Sold 800 Horton shares for ₤15,600.
The entry to record the receipt of the dividends on June 1 would include a


A) debit to Share Investments for ₤4,000.
B) credit to Dividend Revenue for ₤4,000.
C) debit to Dividend Revenue for ₤4,000.
D) credit to Share Investments for ₤4,000.

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