Question
On 08-15-19, Diane, Inc. purchased 500 of its $1 par value common stock for $50 per share. This was Diane's first treasury stock transaction. On
On 08-15-19, Diane, Inc. purchased 500 of its $1 par value common stock for $50 per share. This was Diane's first treasury stock transaction. On 09-30-19, Diane sold 200 of the treasury shares for $52 per share. On 11-14-19, Diane purchased 300 of its $1 par value common stock for $47 per share. On 12-01-19, Diane sold 400 of the treasury shares for $51 per share. In accounting for treasury stock transactions, Diane uses the cost method and a FIFO assumption. As a result of accounting for these treasury stock transactions, Diane's additional paid-in-capital from treasury stock account will increase by:
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started