Cash dividends of $50,000 were declared during the year. Cash dividends payable were $10,000 and $5,000 at the beginning and end of the year, respectively. The amount of cash for the payment of dividends during the year is

A) $55,000
B) $50,000
C) $65,000
D) $60,000

Question

Michaela Moore · Accepted Answer

Final Answer : A, Explanation :  Cash dividends declared during the year = $50,000Cash dividends payable at the beginning of the year = $10,000Cash dividends payable at the end of the year = $5,000Total cash for the payment of dividends during the year = Cash dividends declared - Cash dividends payable at the beginning + Cash dividends payable at the end= $50,000 - $10,000 + $5,000= $45,000 + $10,000= $55,000Therefore, the correct answer is A) $55,000.

Cash dividends of $50,000 were declared during the year. Cash dividends payable were $10,000 and $5,000 at the beginning and end of the year, respectively. The amount of cash for the payment of dividends during the year is

A) $55,000
B) $50,000
C) $65,000
D) $60,000

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Learning Objectives

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Cash dividends of $50,000 were declared during the year. Cash dividends payable were $10,000 and $5,000 at the beginning and end of the year, respectively. The amount of cash for the payment of dividends during the year isA) $55,000B) $50,000C) $65,000D) $60,000

Definitions

Learning Objectives

Learning Objectives

Related questions

Cash dividends of $50,000 were declared during the year. Cash dividends payable were $10,000 and $5,000 at the beginning and end of the year, respectively. The amount of cash for the payment of dividends during the year is

A) $55,000
B) $50,000
C) $65,000
D) $60,000