Question

ordan Industries declared a $0.90 per share cash dividend. The company has 180,000 shares authorized, 61,000 shares issued, and 58,000 shares of common stock outstanding. What is the journal entry to record the dividend declaration

Answer 1

Dividend = 58,000 * $0.90

Dividend = $52,200

Date Account titles and Explanation Debit Credit

Dividend declared $52,200

Dividend payable $52,200

(To record the dividend declaration)