A journal entry is not required on the date of record of a cash dividend.

Name: A journal entry is not required on the date of record of a cash dividend.
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Question

Quizplus · Accepted Answer

This is because the date of record is used by the company to determine who the shareholders are that are entitled to receive the dividend. The actual payment of the dividend will occur at a later date, and that is when a journal entry will be necessary.

A Journal Entry Is Not Required on the Date of Record