Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Marigold Corporation purchased from its stockholders 4,900 shares of its own previously issued stock for $249,900. It later resold 1,960 shares for $54 per

image text in transcribed

Marigold Corporation purchased from its stockholders 4,900 shares of its own previously issued stock for $249,900. It later resold 1,960 shares for $54 per share, then 1,960 more shares for $49 per share, and finally 980 shares for $43 per share. Prepare journal entries for the purchase of the treasury stock and the three sales of treasury stock. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Account Titles and Explanation Treasury Stock Cash (To record purchase from stockholders.) Cash Treasury Stock Paid-in Capital from Treasury Stock (To record sales of shares at $54 per share.) Cash Paid-in Capital from Treasury Stock Treasury Stock (To record sales of shares at $49 per share.) Cash Paid-in Capital from Treasury Stock Debit 249000 105840 96040 3920 42140 1960 Credit 249000 99960 5880 99960

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamentals of Financial Accounting

Authors: Fred Phillips, Robert Libby, Patricia Libby

4th edition

978-0073369709, 73369705, 78025370, 978-0077444846, 77444841, 978-0078025372

More Books

Students also viewed these Accounting questions