The journal entry to issue 1,000,000 shares of $5 par common stock for $9 per share on July 2 would be

a.

July 2	Cash	9,000,000
	Common Stock		5,000,000
	Paid-In Capital in Excess of Par		4,000,000

b.

July 2	Cash	5,000,000
	Paid-In Capital in Excess of ParC/S	4,000,000
	Common Stock		9,000,000

c.

July 2	Cash	5,000,000
	Common Stock		5,000,000

d.

July 2	Cash	9,000,000
	Common Stock		9,000,000

When a cash dividend is declared, which of the following accounts is credited?

a.Common Stock

b.Cash Dividends Payable

c.Paid-In Capital

d.Cash Dividends

Cash dividends are paid on __________ stock.

a.outstanding

b.authorized

c.issued

d.treasury

All of the following are conditions for a cash dividend except

a.sufficient cash.

b.sufficient retained earnings.

c.formal action by the board of directors.

d.All of these choices are correct.