Exerclse $19-10($Algo$)$ Employee share purchase plan $[$LO$19-3]$

In order to encourage employee ownership of the company's $$1$ par commonshares, Washington Distribution permits any of its employees to buy shares directly from the company through payroll deduction. There are no brokerage fees and shares can be purchased at a $11\%$ discount. During March, employees purchased $80,000$ shares at a time when the market price of the shares on the New York Stock Exchange was $$34$ per share.

Required:

Prepare the appropriate journal entry to record the March purchases of shares under the employee share purchase plan.

Note: If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.

Journal entry worksheet

$1$

Record the March purchases of shares under the employee share purchase plan.