This concerns building a receivables account. Stock dividends were posted to the appropriate stock account then transferred directly to a bank account in two simple, scheduled, transactions. I recently disturbed the flow by giving some of the certificates I held to a discount broker. Now, when dividends are declared, there is a two week delay from the time they are paid by the company.
My first check arrived from the broker yesterday with no detail; a signal of things to come I fear. I suppose I should try to place that dividend on my books at the time it was payable. two weeks ago. Since I still hold certificates in that stock, I can calculate what I need from the statement I get involving the payment from the company in which I own the stock. If that's the proper way to handle this, then, although I'll have data to post the dividends expected from the broker when I'm paid for the certificates I hold, I won't have the money. I need to set up a receivables account I assume. Something like "Dividends in Transit".
Is this correct? Any other suggestions or better nomenclature?