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Required information [The following information applies to the questions displayed below.] On April 10, 2019, Amelia Inc. purchased 425 shares of its own common stock
Required information [The following information applies to the questions displayed below.] On April 10, 2019, Amelia Inc. purchased 425 shares of its own common stock in the market for $21 per share. On September 28, 2019, the company sold 255 of these shares in the open market at a price of $24 per share. Required: a. Use the horizontal model to show the effects on Amelia Inc.'s financial statements of the purchase of the treasury stock on April 10, 2019. Indicate the financial statement effect. (Enter decreases with a minus sign to indicate a negative financial statement effect.) Balance Sheet Liabilities Assets = Stockholders' Equity + Net Income Income Statement Revenues Expenses b. Use the horizontal model to show the effects on Amelia Inc.'s financial statements of the sale of the treasury stock on September 28, 2019. Indicate the financial statement effect. (Enter decreases with a minus sign to indicate a negative financial statement effect.) Balance Sheet Liabilities Assets Stockholders' Equity - Net Income Income Statement Revenues Expenses
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