faterco mea Problem 7-Shareholders' Equity-Two-Transaction Method [15 minutes] 12 marks Passmore Gas has a December 31 year-end. The company has a single class of shares. As at December 31, 2016, it had 150,000 shares issued and outstanding. These shares had a book value of $5,700,000 on the balance sheet. Prepare the necessary journal entries for the following transactions. a. During 2017, Passmore Gas repurchased 5% of the issued shares from one of the minority shareholders at a cost of $48 per share (6 marks). Debit Credit b. The company held these in treasury and later found a buyer for half of these shares at $52 (3 marks). Debit c. The other half were sold at $46 to another investor (3 marks). Credit Debit Credit