Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The stockholders' equity account balances of THE Company are given below: January 1, 2021 Common stock ...................... 639,000 Paid-in capital common stock .... 923,000 Retained

The stockholders' equity account balances of THE Company are given below:  January 1, 2021 Common stock ...................... 639,000 Paid-in capital  common stock .... 923,000 Retained earnings ................. 388,000 The common stock account at January 1 consisted of 71,000 shares at a $9 par value per share. During 2021, THE Company entered into the following transactions: February 1 Re-acquired 30,000 of the common shares for $16 per share March 6 Re-issued 9,000 of the shares re-acquired on February 1 for $14 per share June 17 Re-issued 7,000 of the shares re-acquired on February 1 for $21 per share August 3 Issued 18,000 shares of previously un-issued common stock for $26 per share November 11 Re-issued 11,000 of the shares re-acquired on February 1 for $13 per share December 18 Declared and paid a $2 dividend per share on the outstanding shares of common stock THE Company reported a net income of $300,000 for 2021. Calculate the balance in the treasury stock account at December 31, 2021.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Integrated Audit Practice Case

Authors: David S. Kerr, Randal J. Elder, Alvin A. Arens

7th Edition

0912503688, 978-0912503684

More Books

Students also viewed these Accounting questions

Question

The graph in Figure

Answered: 1 week ago