The board of directors of Capstone Incorporated declared a $…
The board of directors of Capstone Incorporated declared a $0.50 per share cash dividend on its $3 par common stock. On the date of declaration, there were 16,000 shares issued. What is the entry when the dividends are declared? Transection Account Title Debit Credit A. Dividends 8,000 A. Dividends Payable 8,000 B. Dividends 5,000 B. Cash 5,000 C. Dividends 27,000 C. Dividends Payable 27,000 D. Dividends 8,000 D. Cash 8,000