Brief Exercise 15-9

Vaughn Corporation has outstanding22,000shares of $5 par value common stock. On August 1, 2017, Vaughn reacquired180shares at $80per share. On November 1, Vaughn reissued the180shares at $71per share. Vaughn had no previous treasury stock transactions.

Prepare Vaughn's journal entries to record these transactions using the cost method.

Brief Exercise 15-12

Sheffield Mining Company declared, on April 20, a dividend of $521,000payable on June 1. Of this amount, $123,000is a return of capital.

Prepare the April 20 and June 1 entries for Sheffield.

Exercise 15-6

Larkspur Corporation is authorized to issue45,000shares of $5par value common stock. During 2017, Larkspur took part in the following selected transactions.

1.Issued4,500shares of stock at $48per share, less costs related to the issuance of the stock totaling $6,300.

2.Issued1,100shares of stock for land appraised at $45,000. The stock was actively traded on a national stock exchange at approximately $49per share on the date of issuance.

3.Purchased530shares of treasury stock at $46per share. The treasury shares purchased were issued in 2013 at $43per share.

(a)Prepare the journal entry to record item 1.

(b)Prepare the journal entry to record item 2.

(c)Prepare the journal entry to record item 3 using the cost method.

Brief Exercise 15-9 Vaughn Corporation has outstanding 22,000 shares of $5 par value common stock. On August 1, 2017, Vaughn reacquired 180 shares at $80 per share. On November 1, Vaughn reissued the 180 shares at $71 per share. Vaughn had no previous treasury stock transactions. Prepare Vaughn's journal entries to record these transactions using the cost method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit 8/1/17 11/1/17 Brief Exercise 15-12 Sheffield Mining Company declared, on April 20, a dividend of $521,000 payable on June 1. Of this amount, $123,000 is a return of capital. Prepare the April 20 and June 1 entries for Sheffield. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Apr. 20 June 1 Account Titles and Explanation Debit Credit Exercise 15-6 Larkspur Corporation is authorized to issue 45,000 shares of $5 par value common stock. During 2017, Larkspur took part in the following selected transactions. 1 Issued 4,500 shares of stock at $48 per share, less costs related to the issuance of the stock . totaling $6,300. 2 Issued 1,100 shares of stock for land appraised at $45,000. The stock was actively traded on a . national stock exchange at approximately $49 per share on the date of issuance. 3 Purchased 530 shares of treasury stock at $46 per share. The treasury shares purchased were . issued in 2013 at $43 per share. (a) Prepare the journal entry to record item 1. (b) Prepare the journal entry to record item 2. (c) Prepare the journal entry to record item 3 using the cost method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) No Account Titles and . Explanation (a) (b) (c) Debit Credit