Paying a dividend to the unsecured creditors

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    Overview

    You are going to pay a dividend to unsecured creditors. The creditor claims entered in the last module (Declaring a dividend) will be used in this exercise.

    Paying a dividend to the unsecured creditors

    The system will first create the accounting entries that are required to record the dividend.

    1.    Click Financials > Creditors.

    4.    Double-click Unsecured Creditors. The Creditor Register will appear filtered by unsecured creditors.

    3.    At the top of the Creditor Register, you can enter the amount of the dividend to pay, either a p/£ or a total amount in pounds and pence amount to be paid.

    Enter 0.2 in the p/£ field as shown below:

    PayDiv1.png

    The Available Cash / Investments amount is the total of cash accounts.

    Note

    A dividend can only be paid if all creditor claims have been dealt with (that is, Admitted or Rejected) or all of the picked creditors’ claims have been dealt with.

    Select the Pick Creditors radio button to pay a dividend to selected (picked) creditors.

    4.    Click Dividend.

    You will receive a warning:

    PayDiv2.png

    5.    Confirm this action by clicking OK.

    The Dividend Selection appears with the dividend declared previously in the list:

    PayDiv3.png

    6.    Select the dividend to pay (if there is more than one) and click OK.

    The Creditor Distribution screen is shown.

    PayDiv4.png

    7.    Finalise the Dividend by entering the details as shown below:

    Field

    Value

    Date to be paid

    24/08/2012

    ‘Authorise’ checkbox

    [select]

    8.    Once you select ‘Authorise’, the following warning is shown:

    PayDiv5.png

    9.    Click OK to finalise the dividend payment. The dividend is prepared and posted.

    PayDiv6.png

    10.    You may review the Dividend Recipients in the screen that is now shown.

    PayDiv7.png

    11.    Select CVL0850U – Unsecured Creditors – Payment of dividend from the report list and click Print.

    PayDiv8.png

    A Word merge document appears.  Review the document.

    12.    Click the Distribution Detail report and review.

    Click Exit to leave the Creditor Distribution.

    13.    Next review a Creditor Listing by Class report filtered by unsecured creditors by navigating through the Reports and Forms as shown below:

    PayDiv9.png

    PayDiv10.png

    14.    Review and then close the report.

    15.    To review the Dividend Transactions which the system automatically creates a transaction for each dividend recipient, Click Financials > Accounts.

    16.    Open the Bank Account and Unsecured Creditors’ Claims account registers.

    17.    Click a transaction to view the transaction entry.