If a company reporting under ASPE decides to use the cost model to account for an investment in common shares, dividends received should be

A) credited to the Investment account.
B) credited to the Dividend Income account.
C) debited to the Investment account.
D) recorded only when 20% or more of the shares are owned.

Cost Model

An accounting method that values an asset based on the amount spent to acquire it minus any depreciation.

Dividend Income

Income earned from owning shares in a company, paid out from the company's earnings to shareholders.

Common Shares

Equity securities that represent ownership in a company, entitling shareholders to vote and typically to receive dividends.