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Treasury Stock - Sale & Purchase

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Record the following transactions of a company in general journal form.

(a) Reacquired 8,000 of its own $10 par value common stock at $40 cash per share. The stock was originally issued at $15 per share.

(b) Sold 2,000 shares of stock reacquired under part (a) at $43 cash per share.

(c) Sold 3,000 shares of the stock reacquired under part (a) at $39 cash per share.

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Solution Summary

The solution provides journal entry for treasury stock sale & purchase transactions.

Solution Preview

A Debit Treasury Stock - 320,000
Credit Cash - 320,000 (40*8000)

B Debit ...

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