Problem # 24 COST METHOD OF ACCOUNTING FOR TREASURY STOCK The Balance Sheet of LIBI Company's stockholders' equity section on 12-31-2009 looks like this: Common Stock- $25 par value, 50,000 shares authorized,~ 30,000 shares issued and outstanding $750,000- APIC, Common Stock 50,000- Retained Earnings . 540,000 Total Stockholder's Equity $1,340,000 In 2010, please record the following transaction in general journal form: Feb. 03 Purchased 4000 shares of its own stock at $20 cash per share. Feb. 08 A dividend of $2 per share was declared to be payable on March 31 to the March 9th Stockholders of record.~ Feb. 10 Sold 1,500 of its Treasury stock at $28 cash per share.~ March 31 Paid the dividend declared on Feb 8th. ~ Sept 28 Sold 1,300 of its Treasury stock at $18 cash per share.~ Oct. 10 A dividend of $1.25 per share was declared and payable on Oct 31st to the Oct. 20th stockholders of record.~ Oct. 31 Paid the dividend declared on Oct. 10th.