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The company began business on January 1 st . Its Balance Sheet on December 31 st contained the Shareholders Equity as follows: Common Stock (5

The company began business on January 1st. It´s Balance Sheet on December 31st contained the Shareholder´s Equity as follows:

Common Stock (5€ par value)

15.000

Additional paid in capital

50.000

Retained earnings

5.000

Less 180 shares held in treasury

-5.000

Total Shareholder´s Equity

65.000

During the year Parmalat engaged in the following capital stock transactions:

  1. Issued shares for 20€ each.

  2. Acquired 400 shares for the treasury in a single transaction.

  3. Reissued some of the treasury shares.

Assume that those were all of the common stock transactions during the year.

The company began business on January 1st. It´s Balance Sheet on December 31st contained the Shareholder´s Equity as follows:

Common Stock (5€ par value)

15.000

Additional paid in capital

50.000

Retained earnings

5.000

Less 180 shares held in treasury

-5.000

Total Shareholder´s Equity

65.000

During the year Parmalat engaged in the following capital stock transactions:

  1. Issued shares for 20€ each.
  2. Acquired 400 shares for the treasury in a single transaction.
  3. Reissued some of the treasury shares.

Assume that those were all of the common stock transactions during the year.

Requirements :

1.- How many shares did Parmalat issued for 20€? 

2.- What was the price at which it acquired the treasury shares? 

3.-How many shares did it reissue from the stock of treasury shares? 

4.- What was the price at which it reissued the treasury shares? 

5.- What journal entries did it make during the year? 

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