Prepare in journal form the entries necessary to record the following stock transactions of the Seoul Company

Question:

Prepare in journal form the entries necessary to record the following stock transactions of the Seoul Company during 2010:

Oct. 1 Purchased 2,000 shares of its own $2 par value common stock for $20 per share, the current market price.

17 Sold 500 shares of treasury stock purchased on October 1 for $25 per share.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...