How would a partial liquidating dividend be accounted for


1. The following comment appeared in the notes of Colorado Corporation's annual report: "Such distributions, representing proceeds from the sale of Sarazan, Inc. were paid in the form of partial liquidating dividends and were in lieu of a portion of the Company's ordinary cash dividends." How would a partial liquidating dividend be accounted for in the financial records?

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Accounting Basics: How would a partial liquidating dividend be accounted for
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