Journal entries to record cash dividends are made on the:
D: Declaration date and payment date.
The ratio of dividends relative to the net income that is earned during a period of time is referred to as dividend payout ratio.
These dividends are defined as cash payments made to the stockholders out of the profits generated during that same period.
The higher the payout ratio, the lower are the earnings retained by the company and the lower the payout ratio, the higher the earnings retained by the company.
Now, when entering these cash dividends into a journal, the date of declaration of the dividends and the date of payment must be recorded.
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Answer:
Journal entries to record cash dividends are made on the:
D: Declaration date and payment date.
The ratio of dividends relative to the net income that is earned during a period of time is referred to as dividend payout ratio.
These dividends are defined as cash payments made to the stockholders out of the profits generated during that same period.
The higher the payout ratio, the lower are the earnings retained by the company and the lower the payout ratio, the higher the earnings retained by the company.
Now, when entering these cash dividends into a journal, the date of declaration of the dividends and the date of payment must be recorded.
Read more at; brainly.com/question/16102531
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