EX 13-9 Entries for cash dividends

The declaration, record, and payment dates in connection with a cash dividend of $187,500 on a corporation’s common stock are July 10, August 9, and September 18. Journalize the entries required on each date.


Answer:

July 10 Cash Dividends 187,500
Cash Dividends Payable 187,500
Aug. 9 No entry required.
Sept. 18 Cash Dividends Payable 187,500
Cash 187,500