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Ace Inc declared and distributed a 10 stock dividend during the year Explain how if at all you think this transaction should be reported on a statement cash flows?
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∙ 15y ago
Maybe you should ask Professor Smith the answer if you do not know, since this is her question word-for-word in class. Be advised there are strict penalties for plagiarizing. Maybe you should ask Professor Smith the answer if you do not know, since this is her question word-for-word in class. Be advised there are strict penalties for plagiarizing.
Wiki User
∙ 15y ago
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What account is debited when a stock dividend is declared and distributed on the same date?
Retained earnings
When a cash dividend is declared it would affect the balance sheet but not the statement of cash flows?
dividend will affect the cash flow when actual cash is paid and not at the time of declaration of dividend.
How do you record declared cash dividend?
A declared cash dividend is recorded by debiting the dividend account and crediting the dividend payable account.
What is the journal entry for declared dividends?
No journal entry for stock option until that stock option is not utilized by the employees or any person with stock option available to them.
Does dividend go on an income statement?
Dividend payable become liability for business as soon as it declared to be paid and all future liabilities are part of balance sheet so dividend payable also shown under liability section of balance sheet and not part of income statement.
How do you record declared cash dividend on an income statement?
Dividend isn't an expense or a loss. It is distribution of previous year earning. It isn't part of the computation of net income. So that it is not presented in Income Statement, but Retained Earnings & Stockholder's Equity. CMIIW.
How do you journalize declared dividends?
declared and paid a $900 dividend
How are earnings per share distributed?
The board of directors of a corporation may, but doeas not have to, declare that a portion of earnings be distributed to shareholders in form of dividend. If you have a brokarage account, the declared amount (usually quarterly) will be transfered without you having to do anything.
Which financials statement does dividends go on?
Indiana unclaimed has a dividend payment to me. How do I get a dividend statement sent to me?
If when dividend is declared supporting documents is required?
When a dividend is declared, supporting documents may be required to verify the eligibility of shareholders to receive the dividend. These documents could include proof of share ownership, such as share certificates or statements from a securities depository, as well as any necessary tax identification information. The purpose of these documents is to ensure that the dividend is distributed only to legitimate shareholders.
Can dividend be declared out of revaluation of fixed assets justify?
No, Dividend Can't be declared out of revaluation of fixed assets. dividend may be declared by a company for that year out of the accumulated profits earned by it in previous years and transferred by it to the reserves, But not from revaluation reserve as its a unrealized profit...
Does dividend reduce profits?
When a corporation declares and pays a dividend, the dividend does not reduce the current accounting period's profit reported on the income statement. In other words, a dividend is not an expense.Dividends will reduce the amount of the corporation's retained earnings. Retained earnings are reported in the stockholders' equity section of the balance sheet.If a corporation has very profitable uses for its cash, its future profits might be less if it pays dividends instead of reinvesting the cash dividend amounts into profitable projects.
