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Question) Cash paid for the distribution of dividends will be shown: a. on the cash disbursements...

Question)

Cash paid for the distribution of dividends will be shown:
a. on the cash disbursements budget.
b. in the financing activities section of the cash summary budget.
c. on the materials purchases budget.
d. in the investing activity section of the cash summary budget

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Answer #1

Answer

* Correct Answer = Option 'a'
Cash paid for distribution of dividends will be shown 'on the cash disbursements budget'.

-Rest options are incorrect because:
>Financing activities section of Cash budget only shows borrowing and repayments of loan.
>No separate investing activity section is present in cash summary budget.
>Dividend is not related to material purchases budget.

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