The Board of Directors of Westlake Ltd Declared a Cash

Multiple Choice

The board of directors of Westlake Ltd declared a cash dividend of $2.50 per share on 22,000 ordinary shares on 15 July 2019. The dividend is to be paid on 15 August 2019, to shareholders of record on 31 July 2019. The effects of the journal entry to record the declaration of the dividend on 15 July 2019 are to:

A) decrease equity and decrease assets.
B) increase equity and increase liabilities.
C) increase equity and decrease assets.
D) decrease equity and increase liabilities