Shroff Co.'s statement of cash flows contained the following information (in millions):

Required:

1. Record the purchase of treasury stock in 2005.

2. Record the sale of treasury stock in 2006. Assume the stock had been purchased at a cost of $9 million.

3. Would Shroff have reported a loss if the stock sold in 2006 had been purchased originally for $13 million?

Cash flows from financing activities: Purchases of treasury stock Sale of treasury stock 2006 10.5 2005 (625.8) 30.1 2004 (251.1) 35.4