1. Prior to June 30, a company has never had any treasury stock transactions. A company repurchased 100 shares of its $1 par common stock on June 30 for $40 per share. On July 20, it reissued 50 of these shares at $46 per share. On August 1, it reissued 20 of the shares at $38 per share. What is the journal entry necessary to record the repurchase of stock on June 30?

Debit Common Stock $4,000; credit Cash $4,000.

Debit Common Stock $100; debit Treasury Stock $3,900; credit Cash $4,000.

Debit Treasury Stock $3,900; debit Paid-in Capital, Treasury Stock $100; credit Cash $4,000.

Debit Treasury Stock, Common $4,000; credit Cash $4,000.

Debit Cash $4,000; credit Treasury Stock $4,000.

2.

A corporation issued 5,000 shares of $10 par value common stock in exchange for some land with a market value of $70,000. The entry to record this exchange is:

Debit Land $70,000; credit Common Stock $50,000; credit Paid-In Capital in Excess of Par Value, Common Stock $20,000.

Debit Land $70,000; credit Common Stock $70,000.

Debit Land $50,000; credit Common Stock $50,000.

Debit Common Stock $50,000; debit Paid-In Capital in Excess of Par Value, Common Stock $20,000; credit Land $70,000.

Debit Common Stock $70,000; credit Land $70,000.