a) Journalize the treasury stock transactions, and prepare the closing entry at December 31, 2015, for net income.

b)Open accounts for Paid-in Capital from Treasury Stock, Treasury Stock, and Retained Earnings. Post to these accounts using J10 as the posting reference.

c)Prepare the stockholders equity section for Fechter Corporation at December 31, 2015.

Problem 11-2A Fechter Corporation had the following stockholders' equity accounts on January 1, 2015: Common Stock ($4 par) $421,080, Paid-in Capital in Excess of Par-Common Stock $212,370, and Retained Earnings $111,550. In 2015, the company had the following treasury stock transactions. Mar. 1 Purchased 5,500 shares at $8 per share. June 1 Sold 1,240 shares at $13 per share. Sept.1 Sold 1,930 shares at $10 per share. Dec. 1 Sold 1,270 shares at $7 per share. Fechter Corporation uses the cost method of accounting for treasury stock. In 2015, the company reported net income of $27,270