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Whispering Winds Corporation had the following stockholders' equity accounts on January 1, 2020: Common Stock ($4 par) $400,000, Paid-in Capital in Excess of Par Common
Whispering Winds Corporation had the following stockholders' equity accounts on January 1, 2020: Common Stock ($4 par) $400,000, Paid-in Capital in Excess of Par Common Stock $185,000, and Retained Earnings $110,000. In 2020, the company had the following treasury stock transactions Mar. 1 Purchased 6,500 shares at $8 per share. June 1 Sold 1,500 shares at $13 per share Sept.1 Sold 2,000 shares at $11 per share. Dec. 1 Sold 1,500 shares at $6 per share. Whispering Winds Corporation uses the cost method of accounting for treasury stock. In 2020, the company reported net income of $34,000 Date Account Titles and Explanation Debit Credit 52,000 Mar. 1 Treasury Stock Cash 52,000 June 1 Cash 19,500 Treasury Stock Paid-in Capital from Treasury Stock Sept. 1 Cash Treasury Stock Paid-in Capital from Treasury Stock Dec. 1 Cash Paid-in Capital from Treasury Stock Treasury Stock Income Summary Retained Earnings Dec. 31
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