Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Margo Corporation declared a cash dividend of $80,000 on April 1, 2020, payable to shareholders on April 15, 2020. Margo Corporation announced to shareholders that

Margo Corporation declared a cash dividend of $80,000 on April 1, 2020, payable to shareholders on April 15, 2020. Margo Corporation announced to shareholders that 80% of the dividend amount was a return of capital. Upon recording the required entry on April 1, 2020, Margo Corporation would record: An increase in liabilities for $64,000. A decrease to retained earnings of $64,000. A decrease in assets of $80,000. A decrease in stockholders' equity of $80,000 $46,613

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial accounting

Authors: Walter T. Harrison, Charles T. Horngren, William Bill Thomas

8th Edition

9780135114933, 136108865, 978-0136108863

More Books

Students also viewed these Accounting questions

Question

please dont use chat gpt 5 1 4 . .

Answered: 1 week ago