easy · Financial Accounting stockholders-equity
A beginner is learning the accounting idea from zero context.
Which entry records declaration of a cash dividend under a simple retained-earnings presentation?
- Debit Cash; credit Service Revenue
- Debit Dividends Payable; credit Cash
- Debit Dividend Expense; credit Common Stock for the amount declared
- Debit Retained Earnings; credit Dividends Payable
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