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The board of directors of Lawson Corporation voted to pay a dividend to stockholders who owned stock on April 1, 2015. Dividends were paid on May 1, 2015, and received by stockholders on May 5, 2015. What is the declaration dale? a. April 1, 2015 b. May 5, 2015 c. May 1, 2015 d. March 16, 2015 The board of directors of a corporation declares a cash dividend of $0.25 per share on the common stock. Assuming that there are 20,000 shares of common stock outstanding, the journal entry on the declaration date will involve a debit to the a. Cash Dividends account and a credit to the Dividends Payable account for $5,000. b. Retained Earnings account and a credit to the Common Stock Dividends Distributable account for $5,000. c. Cash Dividends Payable account and a credit to the Retained Earnings account for $5,000. d. Retained Earnings account and a credit to the Income Summary account for $5,000. A corporation has 20,000 shares of $5 par common stock outstanding and 2,000 shares of $100 par, 10% cumulative preferred stock outstanding. Dividends on the preferred stock are one year in arrears. During the current year, the board of directors declares $45,000 in dividends. What is the amount per share payable to the common stockholders? a. $1.25 b. $0.25 c. $10.00 d. $0.50 On the date of declaration of a stock dividend. the Stock Dividends account is a. credited for the par value of the new shares to be issued. b. debited for the fair market value of the new shares to be issued. c. credited for the fair market value of the new shares to be issued. d. debited for the par value of the new shares to be issued

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