The shareholders' equity section of the balance sheet of TNL Systems Inc. included the following accounts at December 31, 2017: (s in millions) 260 2,080 Shareholders' Equity Common stock, 260 million shares at $1 par Paid-in capital-excess of par Paid-in capital-share repurchase Retained earnings 1,600 Required: . During 2018, TNL Systems reacquired shares of its common stock and later sold shares in two separate transactions. Prepare the entries for both the purchase and subsequent resale of the shares assuming the shares are (a) retired and (b) viewed as treasury stock a. On February 5, 2018, TNL Systems purchased 8 million shares at $12 per share. b. On July 9, 2018, the corporation sold 3 million shares at $14 per share c On November 14, 2020, the corporation sold 3 million shares at $9 per share. 2. Prepare the shareholders' equity section of TNL Systems' balance sheet at December 31, 2020, comparing the two approaches. Assume all net income earned in 2018-2020 was distributed to shareholders as cash dividends. Journal entry worksheet Record the purchase of 8 million shares at $12 per share assuming the shares are retired. Note: Enter debits before credits. Date General Journal Debit Credit February 05, 2018 Record entry Clear entry View general journal Journal entry worksheet 2 Record the sale of 3 million shares at $14 per share Note: Enter debits before credits. Date General Journal Debit Credit July 09, 2018 Record entry Clear entry View general journal Journal entry worksheet Record the sale of 3 million shares at $9 per share. Note: Enter debits before credits. Date General Journal Debit Credit November 14, 2020 Record entry Clear entry View general journal Journal entry worksheet 2 Record the purchase of 8 million shares at $12 per share assuming the shares are viewed as treasury stock Note: Enter debits before credits. Date General Journal Debit Credit February 05, 2018 Record entry Clear entry View general journal Journal entry worksheet 2 Record the sale of 3 million shares at $14 per share. Note: Enter debits before credits. Date General Journal Debit Credit July 09, 2018 Record entry Clear entry View general journal Shareholder's Equity $ in millions Retirement Treasury stock Paid-in capital: Total shareholders' equity KReq 1B