Anthem Inc. Issues 200,000 shares of stock with a par value of $0.01 for $150 per...

 

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Anthem Inc. Issues 200,000 shares of stock with a par value of $0.01 for $150 per share. Three years later, it repurchases these shares for $80 per share. Anthem records the repurchase in which of the following ways? O Debit Common Stock for $2,000, debit Additional Paid-in Capital for $29.998,000 and credit Cash for $30 million. O Debit Treasury Stock for $16 million and credit Cash for $16 million. O Debit Common Stock for $2,000, debit Additional Paid-in Capital for $15.998,000 and credit Cash for $16 million. O Debit Stockholders' Equity for $30 million, credit Additional Paid-in Capital for $16 million and credit Cash for $16 million. Anthem Inc. Issues 200,000 shares of stock with a par value of $0.01 for $150 per share. Three years later, it repurchases these shares for $80 per share. Anthem records the repurchase in which of the following ways? O Debit Common Stock for $2,000, debit Additional Paid-in Capital for $29.998,000 and credit Cash for $30 million. O Debit Treasury Stock for $16 million and credit Cash for $16 million. O Debit Common Stock for $2,000, debit Additional Paid-in Capital for $15.998,000 and credit Cash for $16 million. O Debit Stockholders' Equity for $30 million, credit Additional Paid-in Capital for $16 million and credit Cash for $16 million.

Answer rating: 100% (QA)

The entry for repurchase would be 16000000 Debit ... View the full answer