Question

The company paid $35,000 cash in dividends to the owner, jen rogers. the entry needed to close the dividends account is:

Answer 1

The entry needed to close the dividend account is "Debit: Retained earnings $35,000 and credit: dividend expense $35,000" based on the journal transaction. The dividend is a portion of a company's earnings which be shared by the company to the investor as the return for their investment. This entry will decrease the retained earning balance.

Answer 2

The journal entry to close the dividends account is debited the retained earnings account and credited the dividend expenses account of $35,000.  

Further Explanation:

Dividend:

The dividend is the amount of profit given by the company to the shareholder. The shareholder invests in the shares of the company to earn dividends. Some companies provide a high dividend to attract the investor.  

The company can give the dividend from the current year's income and the retained earnings of the company. If the company may pay out the dividend from the retained earnings, the company does not leave for investing the funds in the prospective projects.  

Journal entry to pay the cash in the dividend to the owner, Jen rogers for $35, 000.  

It is assumed that the dividend is paid from the retained earnings.  

Retained earnings of the company are reduced by $35,000, that is why the retained earnings are debited.  

The dividend expenses are paid $35,000, that is why the dividend expenses are credited.  

Retained earnings account                                           $35,000

                To dividend expense                                                 $35,000

(being the dividend is paid to Jen rogers)

Learn more:

1. Learn more about earnings per share (EPS)

brainly.com/question/10985616

2. Learn more about accounts accumulated value

brainly.com/question/1033449

3. Learn more about laterally learning

brainly.com/question/7063990

Answer details:

Grade: Middle School

Subject: Accounting

Chapter: Dividend

Keywords:

company, paid, $35,000, cash, dividends, owner, Jen rogers, needed, close, dividend account, retained earnings, debited, credited, amount of profit, shareholders.