Required information E11-8 Recording Treasury Stock Transactions and Analyzing Their Impact (LO 11-2, LO 11-3] [The following information applies to the questions displayed below.] The following selected transactions occurred for Corner Corporation: Feb. 1 Purchased 400 shares of the company's own common stock at $20 cash per share; the stock is now held in treasury. July 15 Issued 100 of the shares purchased on February 1 for $30 cash per share. Sept. 1 Issued 60 more of the shares purchased on February 1 for $15 cash per share. E11-8 Part 1 Required: 1. Indicate the account, amount, and direction of the effect for the above transactions. (Enter any decreases to account balances with a minus sign.) Assets = Liabilities Stockholders' Equity Feb. 1 July 15 Sept. 1 Journal entry worksheet 2 3 Record the purchase of 400 shares of previously issued common stock for a price of $20 per share. Note: Enter debits before credits. Date General Journal Debit Credit Feb. 1 Record entry Clear entry View general journal 3. What impact does the purchase of treasury stock have on dividends paid? Dividends paid on treasury stock. Therefore, the total amount of when treasury stock is purchased. paid is 4. What impact does the reissuance of treasury stock for an amount higher than the purchase price have on net income? The reissuance of treasury stock for more or less than its original repurchase cost affect net income. The transaction affects only accounts