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A Company Declared and Paid a Dividend of $8,000 This

Question 218

Multiple Choice

A company declared and paid a dividend of $8,000 this year.The entry to close the Dividend at the end of the year will include a debit to:


A) Dividends and a credit to Cash for $8,000.
B) Retained Earnings and a credit to Dividends for $8,000.
C) Dividends and a credit to Retained Earnings for $8,000.
D) Dividends and a credit to Dividends Payable for $8,000.

Correct Answer:

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