Research Case: You are the auditor performing the year end audit of Mulcahy Corporation. Mulcahy Corporation is a U.S. publicly traded corporation based in Chicago, Illinois and has a September 30th fiscal year end. Mulcahy Corporation became a publicly traded corporation in 2018 when the company issued 2,600,000 shares of it $1 par value common stock for $15 per share. In January 2022 the board of directors authorized a share repurchase program. The company decided that the stock repurchased would not be retired. In March 2022, the company repurchased 200,000 shares of its common stock for a price of $20 per share. In August 2022, the company decided to reissue 75,000 shares of this common stock for a price of $28 per share. The staff accountant for Mulcahy Corporation has recognized a gain for $8 per share for the reissued stock (total gain of $600,000) in the company's year end income statement as "Other Income". Your manager has assigned you to perform research in the Codification to determine if this accounting treatment is correct. Accounting Issue: Did Mulcahy Corporation correctly recognize the gain on the reissuance of the common stock as "Other Income"? Codification Reference: Interpretation of the Guidance: Did Mulcahy Corporation correctly recognize the gain on the issuance of the common stock as "Other Income"? If necessary, prepare a journal entry so the financial statements are correct as of September 30, 2022. If a journal entry is not required indicate N/A. Date Account Name Debit Credit