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For a journal entry with only two lines, the following entry is valid: Increase in Revenue, Decrease in Dividends.

User Jarmod
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Yes, the journal entry "Increase in Revenue, Decrease in Dividends" is valid, provided it accurately reflects a financial transaction or event in accordance with accounting principles.

This entry suggests that a company has experienced an increase in its revenue (typically from sales or other income sources) and has chosen to decrease its dividends (payments to shareholders) as a result. This could be a legitimate accounting entry, especially if the company's financial situation or profitability has improved, leading to higher revenue but a decision to retain earnings rather than distribute them as dividends.
User Gdupont
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