Blue Spruce Corporation had the following stockholders' equity accounts on January $1,2022$: Common Stock $($ $$4$ par$)$ $$400,000,$ Paid$-$in Capital in Excess of Par$-$Common Stock $$210,000,$ and Retained Earnings $$110,000.$ In $2022,$ the company had the following treasury stock transactions.

Mar. $1$ Purchased $6,000$ shares at $$8$ per share.

June $1$ Sold $1,000$ shares at $$13$ per share.

Sept. $1$ Sold $2,000$ shares at $$10$ per share.

Dec. $1$ Sold $1,500$ shares at $$7$ per share.

Blue Spruce Corporation uses the cost method of accounting for treasury stock. In $2022,$ the company reported net income of $$28,000.$

$($a$)$

Journalize the treasury stock transactions, and prepare the closing entry at December $31,2022,$ for net income. $($List all debit entries before credit entries. Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually.$)$

Date

Account Titles and Explanation

I

Debit

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List of Accounts