Company AAA closes fiscal year 1 with a profit of 550,000. As of 12/31 in year 1, its Equity includes the following: Capital 6,000,000, Legal reserves 1,200,000, Voluntary reserves 800,000 and Statutory reserves 600,000. When the time comes to distribute year 1s profits, the company decides to distribute a dividend of 100,000, bearing in mind that it already distributed an interim dividend of 25,000 in December of year 1 (and the total dividend cannot exceed 100,000). Which of the following accounts would we include, amongst others, in the profit appropriation entry?

Select one:

a. None of the other options are correct

b. Credit: (557) Interim dividend 25,000 and (526) Dividend payable 100,000.

d. Debit: (129) Net income for the period 550,000; Credit: (557) Interim dividend 25,000 and Cash in banks 100,000.

e. Debit: (129) Net income for the period 550,000; Credit: (557) Interim dividend 25,000 and (526) Dividend payable 100,000.