In 2021, Western Transport Company entered into the treasury stock transactions described below. In 2019, Western Transport had issued 200 million shares of its $1 par common stock at $20 per share. Required:Prepare the appropriate journal entry for each of the following transactions: (if no entry is required for a transaction/event, select “No journal entry required” in the first account field. Enter your answers in millions (i.e., 10,111,000 should be entered as 10).) On January 23, 2021, Western Transport reacquired 15 million shares at $23 per share.On September 3, 2021, Western Transport sold 1 million treasury shares at $24 per share.On November 4, 2021, Western Transport sold 1 million treasury shares at $21 per share.Journal entry worksheetRecord the reacquisition of 15 million shares at $23 per share.Record the sale of 1 million treasury shares at $24 per share.Record the sale of 1 million treasury shares at $21 per share

When the shares issued in the market are bought back by the company they are referred to as Treasury…

Answered: In 2021, Western Transport Company…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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In 2021, Western Transport Company entered into the treasury stock transactions described below. In 2019, Western Transport had issued 200 million shares of its $1 par common stock at $20 per share.

Required:

Prepare the appropriate journal entry for each of the following transactions: (if no entry is required for a transaction/event, select “No journal entry required” in the first account field. Enter your answers in millions (i.e., 10,111,000 should be entered as 10).)

On January 23, 2021, Western Transport reacquired 15 million shares at $23 per share.
On September 3, 2021, Western Transport sold 1 million treasury shares at $24 per share.
On November 4, 2021, Western Transport sold 1 million treasury shares at $21 per share.

Journal entry worksheet

Record the reacquisition of 15 million shares at $23 per share.
Record the sale of 1 million treasury shares at $24 per share.

Record the sale of 1 million treasury shares at $21 per share

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