Information taken from Nanotec Security Inc.’s January 31, 2023, balance sheet follows:

On February 1, 2023, the company repurchased and retired 500 common shares (the first retirement the company has recorded).

Required

Prepare general journal entries to record the repurchase and retirement under each of the following independent assumptions.

The shares were repurchased for:

a. $5.00 per share

b. $7.50 per share

c. $10.00 per share

Transcribed Image Text:

Common shares, 400,000 shares authorized, 32,000 shares issued and outstanding.... Retained earnings... ******** $240,000 79,850