Clifford Company's comparative balance sheet included dividends payable of $80,000 at December 31, 2016, and $100,000 at

Question:

Clifford Company's comparative balance sheet included dividends payable of $80,000 at December 31, 2016, and $100,000 at December 31, 2017. Dividends declared by Clifford during 2017 amounted to $400,000.

Required

1. Calculate the amount of dividends actually paid to stockholders during 2017.

2. How will Clifford report the dividend payments on its 2017 statement of cash flows?

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...