shows common stock ($4 par value) $1,200,000; paid-in capital in excess of par $1,000,000; and retained earnings $1,150,000. During the year, the following treasury stock transactions occurred.

Mar. 1 Purchased 47,000 shares for cash at $15 per share.

July 1 Sold 10,000 treasury shares for cash at $17 per share.

Sept. 1 Sold 9,000 treasury shares for cash at $14 per share.

***Restate the entry for September 1, assuming the treasury shares were sold at $11 per share.

Sept 1. Cash = 99,000 (debit)

(?) Paid-in Capital from Treasury Stock (???) debit

(?) Retained Earnings (???) debit

Treasury Stock (135000) Credit

Please explain the retained earning on this part for me.