mystic Lake Inc. bottles and distributabes spring water. On july 9 of the current year. Mystic Lake reacquired 39,500 shares of its common stock at $42 per share. On September 22, Mystic Lake Inc. sold 30,100 of the reacquired shares at $51 per share. The remaining 9,400 shares were sold at $41 per share on November 23.

Reacquired:

A. Journalize the transactions of July 9, September 22, and November 23. Refer to the Chart of Accounts for exact wording of account titles.

B. What is the balance in Paid-In Capital from Sale of Treasury Stock on December 31 of the current year?

C. For what reasons might Mystic Lake have purchased the treasury stock?