A declared cash dividend is recorded by debiting the dividend account and crediting the dividend payable account.
Dividend is temporary liability account as soon as dividend is declared by corporation which ultimately closes to net profit or retained earnings account.
Let's say the dividend payable is $110. When the dividend is declared (eg the decision is made to pay a dividend but the dividend and tax won't be paid until, say, the first day of next month) then the entry is: Debit "Dividends Expense" (Expense Account) $110 Credit "Dividend Payable Parent Company" (Liability Account) $100 Credit "Dividend Tax Withheld" (Liability Account) $ 10 When the dividend and Tax is actually paid (eg it is now the first day of next month) the entry is: Debit "Dividend Payable Parent Company" (Liability Account) $100 Debit "Dividend Tax Withheld" (Liability Account) $ 10 Credit "Bank Account" (Asset Account) $110
Accrued dividend A/c...............Dr Dividend account.....................Cr Cash Ac.......................Dr Accrued dividend A/c..........Cr
A account that has closed permanently is when a account has been closed forever basically.
Dividend is a temporary account at it is closed the retained earnings account at the end of fiscal year.
The miles should still be in the account as it is the credit card account and not the Frequent Flyer account that has been closed.
A declared cash dividend is recorded by debiting the dividend account and crediting the dividend payable account.
Dividend is temporary liability account as soon as dividend is declared by corporation which ultimately closes to net profit or retained earnings account.
Let's say the dividend payable is $110. When the dividend is declared (eg the decision is made to pay a dividend but the dividend and tax won't be paid until, say, the first day of next month) then the entry is: Debit "Dividends Expense" (Expense Account) $110 Credit "Dividend Payable Parent Company" (Liability Account) $100 Credit "Dividend Tax Withheld" (Liability Account) $ 10 When the dividend and Tax is actually paid (eg it is now the first day of next month) the entry is: Debit "Dividend Payable Parent Company" (Liability Account) $100 Debit "Dividend Tax Withheld" (Liability Account) $ 10 Credit "Bank Account" (Asset Account) $110
Accrued dividend A/c...............Dr Dividend account.....................Cr Cash Ac.......................Dr Accrued dividend A/c..........Cr
can
A account that has closed permanently is when a account has been closed forever basically.
A payment to your account from shares held by you.
yes
When a stock dividend is declared you either receive the money as a cheque to your residence address or it gets directly credited to your bank account that is linked to the trading account in which you hold these shares.
The wording "Account closed by consumer" means that "you", and not the lender, closed the account. It usually indicates that there was no problem on "your" behalf with the account.