Question
On January 1, Sunshine Corporation had 40,500 shares of $11 par value common stock issued and outstanding. All 40,500 shares had been issued in a
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On January 1, Sunshine Corporation had 40,500 shares of $11 par value common stock issued and outstanding. All 40,500 shares had been issued in a prior period at $18 per share. On February 1, Sunshine purchased 1,040 shares of treasury stock for $26 per share and later sold the treasury shares for $21 per share on March 1.
Which of the following would be included in the journal entry to record the purchase of the treasury shares on February 1?
Select the correct answer.
debit to a loss account for $8,320.
credit to Treasury Stock for $27,040.
debit to Treasury Stock for $27,040.
credit to a gain account for $8,32
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