Question

Concord Inc. has outstanding 13,100 shares of $10 par value common stock. On July 1, 2020, Concord reacquired 114 shares at $89 per share. On September 1, Concord reissued 61 shares at $94 per share. On November 1, Concord reissued 53 shares at $85 per share. Prepare Sprinkle.

Answer 1

Answer:

There convincing indications in the questions that suggest that the requirement is to prepare journal to record the transactions.

Find all the journal entries in the explanation section below

Explanation:

The re-acquisition of 114 shares on July 1,2020, gave rise to the below journal

Dr treasury stock(114*$89)               $10146

Cr Cash                                                        $10146

Being payment made for stocks reacquired

The issuance of 61 shares at the price of $94 each gave rise to the below journal:

Dr Cash                              $5734

Cr Treasury stock($89*61)             $5429

Cr paid-in capital                            $305

Being receipt of cash on shares issued

The issuance of additional shares on November 1,2020,gave rise to below journal:

Dr Cash(53*$85)                            $4505

Dr Paid-in capital ($89-$85)*53     $212

Treasury stock                                               $4717

Being receipt of cash on shares issued