1.On December 1, 2019, the Board of directors of Dew Laurintis Company declared an .80 per share dividend payable on January 3, 2020 to shareholders of record on December 16. The company had 500,000 shares authorized and 225,000 shares issued and outstanding.

The journal entry made on the declaration date will include:

A. a debit to Cash Dividends of 180,000.

B. a credit to Cash of 180,000.

C. No entry is made on the declaration date.

D. a credit to Ordinary Share Dividends Distributable by 400,000.

2.Franklin Company declares a 10% ordinary share dividend when it has 50,000 ordinary shares with a 10 par value outstanding. If the market value of 24 per share is used, the amounts debited to Retained Earnings and credited to Share Premium-Ordinary are

Retained Earnings Share Premium-Ordinary

a. 50,000 0

b. 120,000 70,000

c. 120,000 50,000

d. 50,000 70,000