P11-7 (Algo) Analyzing Treasury Stock Transactions LO11-3, 11-9

[The following information applies to the questions displayed below.]

Mango designs, manufactures, and markets mobile communication and media devices, personal computers, and portable digital music players. Mango employs over 92,000 people in the United States. A recent statement of cash flows contained the following information (in millions):

	Year 3		Year 2			Year 1
Cash flows from financing activities:
Repurchases of common stock	(146.9	)		(416.4	)		0

P11-7 Part 1

Required:

A. Prepare the journal entry to record the purchase of treasury stock in Year 3. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).)

B. Assume that Mango resold some of the treasury stock. The shares were originally purchased for $10.6 million and were resold for $13.2 million. Prepare the journal entry to record the sale of the treasury shares. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions rounded to 1 decimal place (i.e., 5,500,000 should be entered as 5.5).)