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4 years ago

When does a corporation record an increase in Dividends Payable?

Business

1 answer:

Gnoma [55]4 years ago

4 0

Answer:

B. On the declaration date

Explanation:

Dividend payable are usually advised by management but must be ratified by the shareholders (usually in the annual general meeting) for such to be come recognizable in the books. The date of ratification is the declaration date

As such a corporation record an increase in Dividends Payable on the declaration date.

The right option is B. On the declaration date

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A down payment is:

Talja [164]

Answer:

Explanation:

Down payment is something that you pay upfront before getting anything.

7 0

2 years ago

Which of the following statements is NOT true? Group of answer choices Intelligent investors must be concerned about future afte

umka2103 [35]

Corporate dividends are always paid in cash is not true among the given statements.

<u>Explanation:</u>

Corporates dividends are not always paid in cash sometimes they are paid in merchandise or as other assets. Dividends are earnings which corporations distribute to its stockholders and they are charge against the profit which the corporation generated over the specified period.

They are charged on the stock which is owned by all the shareholders/stockholders or other investors. The period which dividends are paid differs from one corporation to another. Some companies pay annually while others opt for quarterly payments or pay after 3 months.

7 0

3 years ago

A production line at V. J. Sugumaran's machine shop has three stations. The first station can process a unit in 9 minutes. The

Murrr4er [49]

Answer:

Station 1 is a bottleneck station because the processing time taken to process the product in such station is 9 minute when compared with Station 2 and Station 3

Explanation:

Station 1 = Processing time is 9 minutes

Station 2 = Processing time is 5 minutes per unit (15 minutes / 3 machines)

Station 3 = Processing time is 7 minutes

Thus, the Station 1 is the bottleneck station with a bottleneck time of 9 minutes per unit.

7 0

4 years ago

Hayden Company is considering the acquisition of a machine that costs $324,000. The machine is expected to have a useful life of

Sati [7]

Answer:

Cash payback period= 3.2 years.

Explanation:

Lets first understand what a cash payback period is. As the name suggest, payback period is the time duration within which a business recovers it's investment and/or capital investment and the payback period is expressed in number of years. The formula for payback period is as follows:

Payback period= initial investment ÷ annual cash-flows

In the question annual operating income is given just for distraction.

payback period = $324000 ÷ 100000

payback period= 3.2 years.

This means if Hayden company decides to invest in the machine, it would recover the cost of machine (i.e it's investment) in approximately three and half years.

7 0

3 years ago

For each of the following unrelated situations, calculate the annual amortization expense and prepare a journal entry to record

ivanzaharov [21]

Answer and Explanation:

The amount and the journal entry is shown below:

a. Amortization Expense - Patents $35,000 ($315,000 ÷ 9 years)

To Patents $35,000

(Being amortization expense is recorded)

b Amortization Expense - Patent $2,600 ($46,800 ÷ 18 years)

To Patents $2,600

(Being amortization expense is recorded)

c Amortization Expense - Franchises $18,000 ($72,000 ÷ 4)

To Franchises $18,000

(Being amortization expense is recorded)

7 0

3 years ago