Neill Company purchases 80 percent of the common stock of Stamford Company on January 1, 2017, when Stamford has the following stockholders equity accounts:

Common stock40,000 shares outstanding	$	100,000
Additional paid-in capital		75,000
Retained earnings, 1/1/17		540,000
Total stockholders equity	$	715,000

To acquire this interest in Stamford, Neill pays a total of $592,000. The acquisition-date fair value of the 20 percent noncontrolling interest was $148,000. On January 1, 2018, Stamford reports retained earnings of $620,000. Neill has accrued the increase in Stamfords retained earnings through application of the equity method.

Both of the below transactions are to be viewed independently.

1. On January 1, 2018, Stamford issues 10,000 additional shares of common stock for $25.00 per share. Neill does not purchase any of the newly issued stock. Prepare the journal entry by Neill to record the effects of the January 1, 2014, stock transaction by Stamford.
2. On January 1, 2018 Stamford reacquires 8,000 shares of its own stock for $24.00 per share. None of these shares belonged to Neill. Prepare the journal entry by Neill to reflect the effects of the transaction by Stamford.