The board of directors of Western Ltd declared a cash dividend of $1.50 per share on 42 000 ordinary shares on 15 July, 2014. The dividend is to be paid on 15 August, 2014, to shareholders on record on 31 July, 2014. The effects of the journal entry to record the payment of the dividend on 15 August, 2014, are to: O decrease shareholders' equity and decrease liabilities. decrease liabilities and decrease assets. O increase shareholders' equity and increase liabilities. O increase shareholders' equity and decrease assets.

The board of directors of Western Ltd declared a cash dividend of $1.50 per share on 42 000 ordinary shares on 15 July, 2014. The dividend is to be paid on 15 August, 2014, to shareholders on record on 31 July, 2014. The effects of the journal entry to record the payment of the dividend on 15 August, 2014, are to: O decrease shareholders' equity and decrease liabilities. decrease liabilities and decrease assets. O increase shareholders' equity and increase liabilities. O increase shareholders' equity and decrease assets.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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