The current account is used to mark the inflow and outflow of goods and services
The answer is B, your employer:)
Answer:
$239,060
Explanation:
The computation of the net income distributed to Carr as follows;
<u>
Particulars Carr Mason net income distributed Non-allocated </u>
Net income $442,000
Salary
allowance $42,000 $42,000 $400,000
Interest
on capital $4,410 $10,290 $14,700 $385,300
left amount $192,650 $192,650 $385,300 $0
Net income $239,060
It should be the price right?
Answer:
Option (b) is correct.
Explanation:
The Journal entries are as follows:
(i) On November 1, 2015
Retained Earnings [$3 × 20,000] A/c Dr. $60,000
To Dividend Payable $60,000
(To record the declaration of dividend)
(ii) On November 30, 2015
Dividend Payable A/c Dr. $60,000
To cash A/c $60,000
(To record the payment of dividend)
