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On April 2 a corporation purchased for cash 7,000 shares of its own $10 par common stock at $29 a share. It sold 4,000 of

On April 2 a corporation purchased for cash 7,000 shares of its own $10 par common stock at $29 a share. It sold 4,000 of the treasury shares at $32 a share on June 10. The remaining 3,000 shares were sold on November 10 for $25 a share.

(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.

PAGE 1

JOURNAL

DATE DESCRIPTION POST. REF. DEBIT CREDIT

1

2

(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.

PAGE 1

JOURNAL

DATE DESCRIPTION POST. REF. DEBIT CREDIT

1

2

3

4

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6

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