National Supply$$s shareholders$$ equity included the following accounts at December $31,2023$:

Shareholders' Equity

Common stock, $3$ million shares at $$1$ par $ $3,000,000$

Paid$-$in capital$$excess of par $21,000,000$

Retained earnings $83,500,000$

Required:

National Supply reacquired shares of its common stock in two separate transactions and later sold shares. Prepare the entries for each of the transactions under each of two separate assumptions: the shares are $($a$)$ retired and $($b$)$ accounted for as treasury stock.

February $15,2024$ Reacquired $280,000$ shares at $$10$ per share.

February $17,2025$ Reacquired $280,000$ shares at $$7\mathrm{.}50$ per share.

November $9,2026$ Sold $185,000$ shares at $$9$ per share $($assume FIFO cost$).$

Prepare the shareholders$$ equity section of National Supply$$s balance sheet at December $31,2026,$ assuming the shares are $($a$)$ retired and $($b$)$ accounted for as treasury stock. Net income was $$19$ million in $2024,$ $$20$ million in $2025,$ and $$21$ million in $2026.$ No dividends were paid during the three$-$year period.Problem $18-3($Algo$)$ Reacquired shares$-$comparison of retired shares and treasury shares; financial

statement effects LO$18-5]$

National Supply's shareholders' equity included the following accounts at December $31,2023$:

Required:

National Supply reacquired shares of its common stock in two separate transactions and later sold shares. Prepare the entries for

each of the transactions under each of two separate assumptions: the shares are $($a$)$ retired and $($b$)$ accounted for as treasury

stock.

February $15,2024$ Reacquired $280,000$ shares at $$10$ per share.

February $17,2025$ Reacquired $280,000$ shares at $$7\mathrm{.}50$ per share.

November $9,2026$ Sold $185,000$ shares at $$9$ per share $($assume FIF$0$ cost$).$

Prepare the shareholders' equity section of National Supply's balance sheet at December $31,2026,$ assuming the shares are $($a$)$

retired and $($b$)$ accounted for as treasury stock. Net income was $$19$ million in $2024,$ $$20$ million in $2025,$ and $$21$ million in $2026.$

No dividends were paid during the three$-$year period.

Complete this question by entering your answers in the tabs below.

Prepare the shareholders' equity section of National Supply's balance sheet at December $31,2026,$ assuming the shares are

$($a$)$ retired and $($b$)$ accounted for as treasury stock. Net income was $$19$ million in $2024,$$$20$ million in $2025,$ and $$21$ million

in $2026.$ No dividends were paid during the three$-$year period.

Note: Enter your answers in whole dollars and not in millions.