During this year, board of directors at Munoz Company authorizes repurchase of 100 shares of the company's own common stock with $2 par value for $10 per share. Which of the following journal entries is recorded correctly? O DR: Treasury Stock $1,000: CR: Cash $1.000 O DR: Cash $1.000; CR: Treasury Stock $1,000 O DR: Cash $1.000; CR: Common Stock $200 and Additional Paid-in Capital from Common Stock $800 O DR: Treasury Stock $800 and Additional Paid-in Capital from Treasury Stock $200: CR: Cash $1.000 O DR: Common Stock $1,000; CR: Cash $1,000

During this year, board of directors at Munoz Company authorizes repurchase of 100 shares of the company's own common stock with $2 par value for $10 per share. Which of the following journal entries is recorded correctly? O DR: Treasury Stock $1,000: CR: Cash $1.000 O DR: Cash $1.000; CR: Treasury Stock $1,000 O DR: Cash $1.000; CR: Common Stock $200 and Additional Paid-in Capital from Common Stock $800 O DR: Treasury Stock $800 and Additional Paid-in Capital from Treasury Stock $200: CR: Cash $1.000 O DR: Common Stock $1,000; CR: Cash $1,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

On May 3, Zirbal Corporation purchased 5,500 shares of its own stock for $49,500 cash. On November 4, Zirbal reissued 1,450 shares of this treasury stock for $14,500. Prepare the May 3 and November 4 journal entries to record Zirbal’s purchase and reissuance of treasury stock.
On April 15 of this year, the board of directors for Jedi Company declared a cash dividend of 55 cents per share payable to stockholders of record on May 20. The dividends will be paid on June 14. The company has 107,000 shares of stock outstanding. Prepare any necessary journal entries for each date. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
Rodriguez Corporation issues 10,000 shares of its common stock for $71,800 cash on February 20. Prepare journal entries to record this event under each of the following separate situations. 1. The stock has a $6 par value. 2. The stock has neither par nor stated value. 3. The stock has a $3 stated value. View transaction list Journal entry worksheet A B Record the issue of 10,000 shares of $6 par value common stock for $71,800 cash. Transaction 1 с Note: Enter debits before credits. Record entry General Journal Clear entry Debit Credit View general journal
Dec. 1 Purchased 1,300 shares of the company's $1 par value common stock as treasury stock, paying cash of $8 per share. Dec. 15 Sold 400 shares of the treasury stock for cash of $11 per share. Dec. 20 Sold 700 shares of the treasury stock for cash of $4 per share. (Assume the balance in Paid-In Capital from Treasury Stock Transactions on December 20 is $2,500.) Requirement 1. Journalize these transactions. (Record debits first, then credits. Exclude explanations from any journal entries.) Dec. 1: Purchased 1,300 shares of the company's $1 par value common stock as treasury stock, paying cash of $8 per share. Date Accounts Debit Credit Dec. 1 Treasury Stock—Common 10,400 Cash 10,400 Part 2 Dec. 15: Sold 400 shares of the treasury stock for cash of $11 per share. Date Accounts Debit Credit Dec. 15 Cash 4,400…
(a) A corporation issues 8,000 shares of its $1 par value common stock to provide funds for further expansion. The issue price is $50 per share. What journal entry should be made to record this transaction? (b) A corporation issues 2,000 shares of its $2 par value preferred stock for cash at $60 per share. What journal entry should be made to record this transaction? (c) A company purchased 500 shares of its own $1 par value common stock at $24 per share. What journal entry should be made to record this transaction?
Elroy Corporation repurchased 2,500 shares of its own stock for $35 per share. The stock has a par of $420per share. A month later Elroy resold 625 shares of the treasury stock for $43 per share, Required What is the balance of the Treasury Stock account after these transactions are recognized? Balance of treasury stock
Wildhorse Inc. had these transactions pertaining to investments in common stock: Jan. 1 July 1 Purchased 1,240 shares of Gate Corporation common stock (5% of outstanding shares) for $62,000 cash. Received a cash dividend of $7 per share. Dec. 1 Sold 930 shares of Gate Corporation common stock for $48,360 cash. 31 Received a cash dividend of $7 per share. Journalize the transactions. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Do not round intermediate values. Round final answers to O decimal places, e.g. 5,275.) Date L Account Titles and Explanation eTextbook and Media Debit Credit
During the year, the following selected transactions affecting stockholders' equity occurred for Navajo Corporation: a. February 1: Repurchased 240 shares of the company's common stock at $22 cash per share. b. July 15: Sold 130 of the shares purchased on February 1 for $23 cash per share. c. September 1: Sold 100 of the shares purchased on February 1 for $21 cash per share. Required: 1. Prepare the journal entry required for each of the above transactions. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list Journal entry worksheet 1 2 Repurchased 240 shares of the company's common stock at $22 cash per share. Date February 01 3 Note: Enter debits before credits. Record entry General Journal Clear entry Prev Debit 1 of 8 Credit View general journal ‒‒‒ ‒‒‒ ‒‒‒ Next > *********
Rodriguez Corporation issues 6,000 shares of its common stock for $87,500 cash on February 20. Prepare journal entries to record this event under each of the following separate situations. 1. The stock has a $12 par value. 2. The stock has neither par nor stated value. 3. The stock has a $6 stated value. View transaction list Journal entry worksheet < A B с Record the issue of 6,000 shares of $12 par value common stock for $87,500 cash. Transaction 1 Note: Enter debits before credits. General Journal Debit Credit
s California Surf Clothing Company issues 1,000 shares of $1 par value common stock at $16 per share. Later in the year, the company decides to purchase 100 shares at a cost of $19 per share. Record the purchase of treasury stock. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 Record the purchase of treasury stock. Note: Enter debits before credits Transaction 1 General Journal Debit Credit Canto answer
WW Corp. resells 400 shares of its own common stock for $20 per share. WW had acquired these shares two months before for $16 per share. The resale of this stock would be recorded with a: Select one: a. Debit to Common Stock for $8,000 b. Credit to Additional Paid-In Capital for $1,600 c. Debit to Additional Paid-In Capital for $2,000 d. Credit to Treasury Stock for $8,000 e. Credit to Additional Paid-In Capital for $2,000
The Snow Corporation issues 9,900 shares of $54 par value preferred stock for cash at $62 per share. The entry to record the transaction will consist of a debit to Cash for $613,800. What credit or credits will the entry consist of? Select the correct answer. Preferred Stock for $534,600 and Retained Earnings for $79,200. Preferred Stock for $613,800. Paid-in Capital from Preferred Stock for $613,800. Preferred stock for $534,600 and Paid-in Capital in Excess of Par Value - Preferred Stock for $79,200.