Final answer:
The Dividends account is used to record dividends, which are payments made by a corporation to its shareholders as a distribution of profits.
Step-by-step explanation:
The Dividends account is used to record Dividends.
Dividends are payments made by a corporation to its shareholders as a distribution of profits.
They represent a portion of the company's earnings that are returned to the investors who hold the company's stock.
It is important to note that dividends are not considered expenses or revenues, but rather a distribution of profits to the shareholders.