Recording Treasury Stock Transactions. On January 2, 2020, Liberty Corporation was authorized to issue 200,000 shares...
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Recording Treasury Stock Transactions. On January 2, 2020, Liberty Corporation was authorized to issue 200,000 shares of $5 par value common stock. Liberty issued 40,000 shares of common stock on January 15, 2020, at $15 per share. Required a. Record the entry on June 30, 2020, for purchase of 4,400 common shares for the treasury at $18 per share. b. Record the entry on September 20, 2020, for sale of 1,600 treasury shares at $21 per share. c. Record the entry on November 3, 2020, for sale of 1,000 treasury shares at $17 per share. d. Record the entry on December 15, 2020, for sale of 800 treasury shares at $13 per share. Note: List multiple debits (when applicable) in alphabetical order and list multiple credits (when applicable) in alphabetical order. Date Account Name Cr. a. June 30, 2020 ✓ Treasury Stock Cash ov 79,200 ✓ Dr. 79,200✔ 0✓ 33,600✔ 0✔ 0✓ b. Sept. 20, 2020 Cash 0✓ Paid-in Capital-Treasury Stock Treasury Stock 25,600 x 8,000 * C Nov. 3, 2020 Cash + ✓ 0x 0✓ = ✓ Paid-in Capital-Treasury Stock Treasury Stock 17,000 x 23,200 x + ✔ 0✓ 0x 40,200 x 0✔ d. Dec. 15, 2020 Cash → 0x 10,400 x Paid-in Capital-Retired Stock ÷ Retained Earnings + 0 x 0✔ Treasury Stock 0✔ 0 x e. Determine the number of shares issued and the number of shares outstanding on the following dates (after transactions have been recorded): June 30, 2020; September 20, 2020; November 3, 2020; and December 15, 2020. Issued Shares Outstanding Shares 1. June 30, 2020 0x 2. Sept. 20, 2020 0 x 3. Nov. 3, 2020 0x 3. Dec. 15, 2020 0x 4,400 x 1,600 x 1,000 x 800 x ÷ + + ✔ ✔ ✓ Y ✓ x Recording Treasury Stock Transactions. On January 2, 2020, Liberty Corporation was authorized to issue 200,000 shares of $5 par value common stock. Liberty issued 40,000 shares of common stock on January 15, 2020, at $15 per share. Required a. Record the entry on June 30, 2020, for purchase of 4,400 common shares for the treasury at $18 per share. b. Record the entry on September 20, 2020, for sale of 1,600 treasury shares at $21 per share. c. Record the entry on November 3, 2020, for sale of 1,000 treasury shares at $17 per share. d. Record the entry on December 15, 2020, for sale of 800 treasury shares at $13 per share. Note: List multiple debits (when applicable) in alphabetical order and list multiple credits (when applicable) in alphabetical order. Date Account Name Cr. a. June 30, 2020 ✓ Treasury Stock Cash ov 79,200 ✓ Dr. 79,200✔ 0✓ 33,600✔ 0✔ 0✓ b. Sept. 20, 2020 Cash 0✓ Paid-in Capital-Treasury Stock Treasury Stock 25,600 x 8,000 * C Nov. 3, 2020 Cash + ✓ 0x 0✓ = ✓ Paid-in Capital-Treasury Stock Treasury Stock 17,000 x 23,200 x + ✔ 0✓ 0x 40,200 x 0✔ d. Dec. 15, 2020 Cash → 0x 10,400 x Paid-in Capital-Retired Stock ÷ Retained Earnings + 0 x 0✔ Treasury Stock 0✔ 0 x e. Determine the number of shares issued and the number of shares outstanding on the following dates (after transactions have been recorded): June 30, 2020; September 20, 2020; November 3, 2020; and December 15, 2020. Issued Shares Outstanding Shares 1. June 30, 2020 0x 2. Sept. 20, 2020 0 x 3. Nov. 3, 2020 0x 3. Dec. 15, 2020 0x 4,400 x 1,600 x 1,000 x 800 x ÷ + + ✔ ✔ ✓ Y ✓ x
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Journal entries Date Account Name Debit Credit a June 30 2020 Treasury stock 79200 Cash 4400 X 18 79... View the full answer
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