The following dates are associated with a cash dividend of USD 80,000: July 15, July 31, and August 15. Identify each of the three dates, and give the journal entry required on each date, if any.
How should a declared but unpaid cash dividend be shown on the balance sheet? How should a declared but unissued stock dividend be shown?
On May 8, the board of directors of Park Corporation declared a dividend, payable on June 5, to stockholders of record on May 17. On May 10, James sold his capital stock in Park Corporation directly to Benton for USD 20,000, endorsing his stock certificate and giving it to Benton. Benton placed the stock certificate in her safe. On May 30, Benton sent the certificate to the transfer agent of Park Corporation for transfer. Who received the dividend? Why?