Mystic Lake Inc. bottles and distributes spring water. On July 9 of the current year, Mystic Lake reacquired 6,400 shares of its common stock at $63 per share. On September 22, Mystic Lake sold 4,500 of the reacquired shares at $70 per share. The remaining 1,900 shares were sold at $60 per share on November 23.

a. Journalize the transactions of July 9, September 22, and November 23. If an amount box does not require an entry, leave it blank.

July 9 Sept. 22 Nov. 23 What is the balance in Paid-In Capitalfrom Sale ofTreasury Stock on December 31 ofthe current year? c. For what reasons might Mystic Lake Inc. have purchased the treasury stock