Upland Limited (Upland) is looking to acquire its own shares: 1 January 2020: Upland acquires 12,000 of its own shares at $24 per share. 1 June 2020: Upland sells for $30 per share 3,000 shares of its treasury shares that it had purchased for $24 per share.

Required:

(a) Prepare the required general journal entries for Upland to record the events on 1 January 2020 and 1 June 2020 above.

(b) Discuss what treasury shares are and the purpose of having treasury shares from the perspective of Upland.