Tacoma Inc bottles and distributes spring water On June 12 of the current year, Tacoma Inc reacquired 15,000 shares of its common stock at $48 per share On August 10, Tacoma Inc sold 9,000 of the reacquired shares at $50 per share The remaining 6,000 shares were sold at $47 per share on December 20...

a June 12 Treasury Stock 720000 Cash 720000 Aug 10 ...

Tacoma Inc. bottles and distributes spring water. On June 12 of the current year, Tacoma Inc. reacquired

Question:

Tacoma Inc. bottles and distributes spring water. On June 12 of the current year, Tacoma Inc. reacquired 15,000 shares of its at $48 per share. On August 10, Tacoma Inc. sold 9,000 of the reacquired shares at $50 per share. The remaining 6,000 shares were sold at $47 per share on December 20.
a. Journalize the transactions of June 12, August 10, and December 20.
b. What is the balance in Paid-In Capital from Sale of Treasury Stock on December 31 of the current year?
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 Tacoma Inc. have purchased the treasury stock?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...