Crane Company's balance sheet reported the following: Capital stock outstanding, 4,000 shares, par $ 30 per share $ 120,000 Paid-in capital in excess of par 75,000 Retained earnings 90,000 The following transactions occurred this year: (a) Purchased 180 shares of capital stock to be held as treasury stock, paying $ 55 per share. (b) Sold 140 of the shares of treasury stock at $ 60 per share. (c) Sold the remaining shares of treasury stock at $ 45 per share. Prepare the journal entry for these transactions under the cost method of accounting for treasury stock. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) No. Account Titles and Explanation Debit Credit (a) (b) (c)
Crane Company's balance sheet reported the following: Capital stock outstanding, 4,000 shares, par $ 30 per share $ 120,000 Paid-in capital in excess of par 75,000 Retained earnings 90,000 The following transactions occurred this year: (a) Purchased 180 shares of capital stock to be held as treasury stock, paying $ 55 per share. (b) Sold 140 of the shares of treasury stock at $ 60 per share. (c) Sold the remaining shares of treasury stock at $ 45 per share. Prepare the journal entry for these transactions under the cost method of accounting for treasury stock. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) No. Account Titles and Explanation Debit Credit (a) (b) (c)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Crane Company's balance sheet reported the following:
The following transactions occurred this year:
Prepare thejournal entry for these transactions under the cost method of accounting for treasury stock. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)
| Capital stock outstanding, 4,000 shares, par $ 30 per share | $ 120,000 | |
| Paid-in capital in excess of par | 75,000 | |
| 90,000 |
The following transactions occurred this year:
| (a) | Purchased 180 shares of capital stock to be held as |
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| (b) | Sold 140 of the shares of treasury stock at $ 60 per share. | |
| (c) | Sold the remaining shares of treasury stock at $ 45 per share. |
Prepare the
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