declared and paid a $900 dividend
Dividends are declared out of current period net income. When declared, they reduce the amount added to retained earnings.
NO. They are declared by the board of Directors.
Dividends use to be shown on the profit and loss. But now it only gets shown on the 'statement of changes in equity'
Dividend payable is classified as liability as soon as dividend is declared in liability side of balance sheet.
Dividends declared will not be recorded until they are actually paid. You should record the portion paid this year in your retained earnings and the portion that is paid in the next fiscal year in the subsequent year.
Dividends are declared out of current period net income. When declared, they reduce the amount added to retained earnings.
NO. They are declared by the board of Directors.
declared and paid a $900 dividend
Dividends use to be shown on the profit and loss. But now it only gets shown on the 'statement of changes in equity'
dividends are not being declared
issued share capital
Dividend payable is classified as liability as soon as dividend is declared in liability side of balance sheet.
1. Journalize transactions, Post to the accounts, Prepare a trial Balance. 2. Post to the accounts, Journalize transactions, Prepare a trial Balance. 3. Prepare a trial Balance, Journalize transaction, Post to the accounts
Dividends declared will not be recorded until they are actually paid. You should record the portion paid this year in your retained earnings and the portion that is paid in the next fiscal year in the subsequent year.
Dividend is a temporary account at it is closed the retained earnings account at the end of fiscal year.
I'd say it's more of a capital than liability, tho depends on your accounting standards.
Dividend is temporary liability account as soon as dividend is declared by corporation which ultimately closes to net profit or retained earnings account.