Treasury Stock Transactions

Biscayne Bay Water Inc. bottles and distributes spring water. On May 14 of the current year, Biscayne Bay Water Inc. reacquired 2,400 shares of its common stockat $54 per share. On September 6, Biscayne Bay Water Inc. sold 1,900 of the reacquired shares at $57 per share. The remaining 500 shares were sold at $51 per share on November 30.

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

May 14		fill in the blank b6b559022fa5016_2	fill in the blank b6b559022fa5016_3
		fill in the blank b6b559022fa5016_5	fill in the blank b6b559022fa5016_6
Sept. 6		fill in the blank b6b559022fa5016_8	fill in the blank b6b559022fa5016_9
		fill in the blank b6b559022fa5016_11	fill in the blank b6b559022fa5016_12
		fill in the blank b6b559022fa5016_14	fill in the blank b6b559022fa5016_15
Nov. 30		fill in the blank b6b559022fa5016_17	fill in the blank b6b559022fa5016_18
		fill in the blank b6b559022fa5016_20	fill in the blank b6b559022fa5016_21
		fill in the blank b6b559022fa5016_23	fill in the blank b6b559022fa5016_24

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 4ec13a05c06b05d_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?