Answer the following questions
. Ken 1 Treasu Prepare the shareholders equity section of National Supply's balance sheet at December 31, 2023, assuming the shares are (a) retired and (b) accounted for as treasury stock. Net income was $16 million in 2021, $18 million in 2022, and $20 million in 2023. No dividends were paid during the three-year period. (Enter your answers in whole dollars.) Paidin capital: Cash Cash dividends payable Common stock Common stock dividends distributable isur):r Stock National Supply's shareholders' equity included the following accounts at December 31, 2020: Shareholders ' Equityr Common stock, '3 million shares at $1 par $ 9,608,888 Paidin capitalexcess of par 63,608,880 Retained earnings 92,503,333 Required: 1. National Supply reacquired shares of its common stock in two separate transactions and later sold shares. Prepare the entries for each of the transactions under each of two separate assumptions: the shares are (a) retired and (b) accounted for as treasury stock. Februaryr 15, 2021 Reacquired 480,888 shares at $18 per share. Februaryr 1?, 2022 Reacquired 480,888 shares at $7.50 per share. November 9, 2023 Sold 275,888 shares at $9 per share (assume FIFO cost). 2. Prepare the shareholders' equity section of National Supply's balance sheet at December 31, 2023, assuming the shares are (a) retired and (b) accounted for as treasury stock. Net income was $16 million in 2021, $18 million in 2022, and $20 million in 2023. No dividends were paid during the threeyear period. Complete this question by entering your answers in the labs below. Req 1 Treasuryr Req l Retired Stock Req2 Prepare the entry for each of the transactions given in the requirement above. Assume shares are retired. (If no entry is requlred for a transactionfevent, select "No journal entry required" in the rst aocount eld.) View transaction list X 1 Record the purchase of shares on FebmaryI 15, 2021 for i > retirement. 2 Record the purchase of shares on Feanary 17, 2022 for ' retirement. 3 Record the sale of shares on November 9, 2023. f Req 1 Retired Req 1 Treasury Stock Req 2 Prepare the shareholders' equity section of National Supply's balance sheet at December 31, 2023, assuming the shares are (a) retired and (b) accounted for as treasury stock. Net income was $16 million in 2021, $18 million in 2022, and $20 million in 2023. No dividends were paid during the three-year period. (Enter your answers in whole dollars.) Shareholders' Equity Retirement Treasury stock Paid-in capital: Total shareholders' equity Req 1 Retired Req 1 Treasury Stock Req 2 Prepare the entry for each of the transactions given in the requirement above. Assume shares are treasury stock. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) View transaction list X 1 Record the purchase of 400,000 shares at $10 per share on February 15, 2021 that are accounted for as treasury stock. 15, 2021 2 Record the purchase of 400,000 shares at $7.50 per share on February 17, 2022 that are accounted for as treasury stock. Record the sale of 275,000 shares at $9 per share Credit (assume FIFO cost) on November 9, 2023
