Micron owns 40% of the outstanding Martok Corp common shares. Martok paid$97,000 in total cash dividends to its shareholders. Micron's entry to record the transaction should include a:

Question

Quizplus · Accepted Answer

Micron owns 40% of Martok Corp common shares, so Micron's share of the cash dividends is 40% of $97,000 = $38,800. The entry to record the transaction should include a credit to Investment in Martok Common Shares for $38,800.

Micron Owns 40% of the Outstanding Martok Corp Common Shares