Treasury Stock Transactions

Biscayne Bay Water Inc. bottles and distributes spring water. On May 14 of the current year, Biscayne Bay Water Inc. reacquired 2,200 shares of its common stock at $55 per share. On September 6, Biscayne Bay Water Inc. sold 1,700 of the reacquired shares at $58 per share. The remaining 500 shares were sold at $52 per share on November 30.

a. Journalize the transactions of May 14, September 6, and November 30. For a compound transaction, if an amount box does not require an entry, leave it blank.

May 14		fill in the blank e80c6103904704b_2
			fill in the blank e80c6103904704b_4
Sept. 6		fill in the blank e80c6103904704b_6	fill in the blank e80c6103904704b_7
		fill in the blank e80c6103904704b_9	fill in the blank e80c6103904704b_10
		fill in the blank e80c6103904704b_12	fill in the blank e80c6103904704b_13
Nov. 30		fill in the blank e80c6103904704b_15	fill in the blank e80c6103904704b_16
		fill in the blank e80c6103904704b_18	fill in the blank e80c6103904704b_19
		fill in the blank e80c6103904704b_21	fill in the blank e80c6103904704b_22

b. What is the balance in Paid-In Capital from Sale of Treasury Stock on December 31 of the current year? $fill in the blank a0a203038039024_1

c. Where will the balance in Paid-In Capital from Sale of Treasury Stock be reported on the balance sheet?

d. For what reasons might Biscayne Bay Water Inc. have purchased the treasury stock?