Question
During its first year of operations, a company completes the following transactions related to its stockholders' equity. February 1: Issue common stock Number of common
During its first year of operations, a company completes the following transactions related to its stockholders' equity.
February 1: Issue common stock
| Number of common shares issued | 100,000 |
|---|---|
| Par value per share | $0.01 |
| Issue price per share | $18.00 |
March 18: Purchase treasury stock
| Number of shares purchased | 2,000 |
|---|---|
| Purchase price per share | $29.00 |
November 11: Resold treasury stock
| % of shares resold | 30% |
|---|---|
| Resale price per share | $33.00 |
Required:
Prepare the journal entry for the issuance of common stock on February 1.
Prepare the journal entry for the purchase of treasury stock on March 18.
Prepare the journal entry for the resale of treasury stock on November 11.
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Fundamental Managerial Accounting Concepts
Authors: Edmonds, Tsay, olds
6th Edition
71220720, 78110890, 9780071220729, 978-0078110894
