Dividends deducted in SOCIE when declared during the year Steps:

• Final dividend for 2017 paid in 2018 implies declaration in 2018, reducing 2018 retained earnings by $15,000.
• Interim dividend for 2018 paid in 2018 implies declaration in 2018, reducing retained earnings by $8,000.
• Final dividend for 2018 declared on 1 February 2019, after 31 December 2018, so not recognized in 2018.
• Total distributions in 2018 SOCIE: $15,000 +$8,000 = $23,000, per IAS 1 presentation requirements.

Why C is correct:

• C deducts $23,000 for dividends declared in 2018, aligning with IAS 10 (declaration creates liability) and IAS 1 (distributions reduce equity in declaration period).

Why the others are wrong:

• A deducts only $8,000, ignoring 2017 final declared in 2018.
• B deducts $18,000 ($8,000 + $10,000), incorrectly including post-year-end declaration.
• D deducts $33,000, wrongly adding undeclared 2018 final to 2018 payments.

Final answer: C