On June 8, Cato Ltd. was incorporated and issued 26,400 common shares for $264,000. On August...

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On June 8, Cato Ltd. was incorporated and issued 26,400 common shares for $264,000. On August 19, an additional 6,600 shares were issued for $79,200. On November 2, the company paid $25,344 to repurchase 2,640 common shares and on December 7 it paid $45.760 to repurchase 3,520 common shares. (a) Your answer is correct. Calculate the average cost of the common shares on June 8, August 19. November 2, and December 7. (Round answers to 2 decimal places, e.g. 15.25.) Average Cost June 8 $ Aug. 19 Nov. 2 Dec. 7 $ $ $ 10.00 10.40 10.40 10.40 (b) Prepare the journal entries to record the above transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round average cost to 2 decimal places, e.g. 15.25.) Date Account Titles and Explanation Debit Credit June 8 V Cash Common Shares Aug. 19 V Cash Common Shares Nov. 2 V Common Shares Cash Contributed Surplus Common Shares Contributed Surplus Retained Earnings Cash Dec. 7 > On June 8, Cato Ltd. was incorporated and issued 26,400 common shares for $264,000. On August 19, an additional 6,600 shares were issued for $79,200. On November 2, the company paid $25,344 to repurchase 2,640 common shares and on December 7 it paid $45.760 to repurchase 3,520 common shares. (a) Your answer is correct. Calculate the average cost of the common shares on June 8, August 19. November 2, and December 7. (Round answers to 2 decimal places, e.g. 15.25.) Average Cost June 8 $ Aug. 19 Nov. 2 Dec. 7 $ $ $ 10.00 10.40 10.40 10.40 (b) Prepare the journal entries to record the above transactions. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Round average cost to 2 decimal places, e.g. 15.25.) Date Account Titles and Explanation Debit Credit June 8 V Cash Common Shares Aug. 19 V Cash Common Shares Nov. 2 V Common Shares Cash Contributed Surplus Common Shares Contributed Surplus Retained Earnings Cash Dec. 7 >

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Average cost Working Jun08 10 Aug19 1... View the full answer