On April 2 a corporation purchased for cash 7,000 shares of its own $11 par common stock at $27 per share It sold 4,000 of the treasury shares at $30 per share on June 10 The remaining 3,000 shares were sold on November 10 for $23 per share Required (a) Journalize the entries to record the purchase (treasury stock is recorded at cost) (b) Journalize the entries to record the sale of the stock Refer to the Chart of Accounts for exact wording of account titles Chart Of Accounts CHART OF ACCOUNTS General Ledger ASSETS 110 Cash 120 Accounts Receivable 131 Notes Receivable 132 Interest Receivable 141 Merchandise Inventory 145 Supplies 151 Prepaid Insurance 181 Land 191 Buildings 192 Accumulated Depreciation Building 193 Equipment 194 Accumulated Depreciation Equipment LIABILITIES 210 Accounts Payable 221 Notes Payable 226 Interest Payable 231 Cash Dividends Payable 236 Stock Dividends Distributable 241 Salaries Payable 261 Mortgage Note Payable EQUITY 311 Preferred Stock 312 Paid In Capital in Excess of Par Preferred Stock 321 Common Stock 322 Paid In Capital in Excess of Par Common Stock 323 Paid In Capital in Excess of Stated Value Common Stock 331 Treasury Stock 332 Paid In Capital from Sale of Treasury Stock 340 Retained Earnings 351 Cash Dividends 352 Stock Dividends 390 Income Summary REVENUE 410 Sales 610 Interest Revenue (a) Journalize the entries to record the purchase (treasury stock is recorded at cost) on April 2 Refer to the Chart of Accounts for exact wording of account titles (b) Journalize the entries to record the sale of the stock on June 10 and Nov 10 Refer to the Chart of Accounts for exact wording of account titles

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On April 2 a corporation purchased for cash 7,000 shares of its own $11 par common stock at $27 per share. It sold 4,000 of

On April 2 a corporation purchased for cash 7,000 shares of its own $11 par common stock at $27 per share. It sold 4,000 of the treasury shares at $30 per share on June 10. The remaining 3,000 shares were sold on November 10 for $23 per share.

	Required:
(a)	Journalize the entries to record the purchase (treasury stock is recorded at cost).
(b)	Journalize the entries to record the sale of the stock.
	*Refer to the Chart of Accounts for exact wording of account titles.

Chart Of Accounts

CHART OF ACCOUNTS

General Ledger

	ASSETS
110	Cash
120	Accounts Receivable
131	Notes Receivable
132	Interest Receivable
141	Merchandise Inventory
145	Supplies
151	Prepaid Insurance
181	Land
191	Buildings
192	Accumulated Depreciation-Building
193	Equipment
194	Accumulated Depreciation-Equipment

	LIABILITIES
210	Accounts Payable
221	Notes Payable
226	Interest Payable
231	Cash Dividends Payable
236	Stock Dividends Distributable
241	Salaries Payable
261	Mortgage Note Payable

	EQUITY
311	Preferred Stock
312	Paid-In Capital in Excess of Par-Preferred Stock
321	Common Stock
322	Paid-In Capital in Excess of Par-Common Stock
323	Paid-In Capital in Excess of Stated Value-Common Stock
331	Treasury Stock
332	Paid-In Capital from Sale of Treasury Stock
340	Retained Earnings
351	Cash Dividends
352	Stock Dividends
390	Income Summary

	REVENUE
410	Sales
610	Interest Revenue

(a) Journalize the entries to record the purchase (treasury stock is recorded at cost) on April 2. Refer to the Chart of Accounts for exact wording of account titles.

(b) Journalize the entries to record the sale of the stock on June 10 and Nov 10. Refer to the Chart of Accounts for exact wording of account titles.