Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Anthem Inc. issues 200,000 shares of stock with a par value of $0.01 for $150 per share. Three years later, it repurchases these shares for

image text in transcribed

Anthem Inc. issues 200,000 shares of stock with a par value of $0.01 for $150 per share. Three years later, it repurchases these shares for $80 per share. Anthem records the repurchase in which of the following ways? Debit Common Stock for $2.000. debit Additional Paid-in Capital for $29.998,000 and credit Cash for $30 million. Debit Treasury Stock for $16 million and credit Cash for $16 million. Debit Common Stock for $2,000. debit Additional Paid-in Capital for $15.998.000 and credit Cash for $16 million. Debit stockholders' Equity for $30 million, credit Additional Paid-in Capital for $16 million and credit Cash for $16 million

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

CIA Part 3 Business Knowledge For Internal Auditing 2022

Authors: MUHAMMAD ZAIN

1st Edition

B09PM77HSC, 979-8794979688

More Books

Students also viewed these Accounting questions

Question

What are the various types of investments?

Answered: 1 week ago

Question

e. What are notable achievements of the group?

Answered: 1 week ago