Use the information for Hanover Corporation in BE15-18. Assume now that the company resells the 1,000 treasury shares at $55 per share. Prepare the journal entries for the repurchase and subsequent sale of the treasury shares.
In BE
Hanover Corporation has 750,000 shares outstanding. The shares have an average cost of $45 per share. On September 5, the company repurchases 1,500 of its own shares at $75 per share and does not cancel them. The shares are classified as treasury shares. On November 20, 2012, the company resells 1,000 of the treasury shares at $80 per share.