Indicate how each event affects the elements of financial statements. Use the following letters to record your answer in the box shown below each element. You do not need to enter dollar amounts. (Note that "Not Affected" means that the event does not affect that element of the financial statements or the event causes an increase in that element that is offset by a decrease in the same element.)Increase = IDecrease = DNot Affected = NAVancouver Co. paid a $50,000 cash dividend to its shareholders two months after Vancouver declared the dividend.AssetsLiabilitiesStk. EquityRevenuesExpensesNetStmt. of ?IncomeCash Flows???????

What will be an ideal response?


(D) (D) (NA) (NA) (NA) (NA) (D)
Paying a dividend that was declared at an earlier date decreases assets (cash) and decreases liabilities (dividends payable). It is reported as a cash outflow in the financing activities section of the statement of cash flows.

Business

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