In 2016, Dickens Company had a beginning balance in its Cash Dividend Payable account of $5,000 and an ending balance of $4,000.During 2016, the only dividends Dickens declared were $46,000 in cash to the common stockholders.How much cash was paid to the common stockholders?

Question

Quizplus · Accepted Answer

The cash paid to common stockholders is calculated as the beginning balance of Cash Dividend Payable plus dividends declared minus the ending balance of Cash Dividend Payable: $5,000 + $46,000 - $4,000 = $47,000.

In 2016, Dickens Company Had a Beginning Balance in Its