Answered step by step
Verified Expert Solution
Question
00
1 Approved Answer
problem 3: Share buybacks (12 pts) The shareholders' equity section of the balance sheet of Genesis Inc. at 12/31/2018: Shareholders' Equity Common stock, 200 million
problem 3: Share buybacks (12 pts) The shareholders' equity section of the balance sheet of Genesis Inc. at 12/31/2018: Shareholders' Equity Common stock, 200 million shares at $1 par In millions $200 Paid-in capital-excess of par 1.800 Paid-in capital-share repurchase 13 Retained Earnings 60,000 On March 11, 2019. Genesis purchased back 3 million shares at $14 per share. On July 29, 2019. Genesis sold 1 million shares at $15 per share Required: a. Prepare journal entries to record the above two transactions assuming Genesis retired shares (7 pts). b. Prepare journal entries to record the above two transactions assuming Genesis viewed the repurchased shares as treasury stocks (5 pts)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started