Llewelyn Company purchased 3,600 shares of its own $8 par value common stock when the market price of the stock was $34 per share. Which of the following journal entries would be used to record the purchase of treasury stock? Multiple ChoiceAccount TitleDebitCreditTreasury stock28,800Paid-in capital in excess of par28,800CommonAccount TitleDebitCreditTreasury stock122,400Cash122,400Account TitleDebitCreditTreasury stock122,400Common stock28,800Paid-in capital in excess of parCommon93,600Account TitleDebitCreditCash122,400Treasury stockPaid-in capital in excess of par28,800Common93,600

To create a journal entry, you enter transaction details into ones company's books. Your journal…

Llewelyn Company purchased 3,600 shares of its own $8 par value common stock when the market price of the stock was $34 per share. Which of the following journal entries would be used to record the purchase of treasury stock?

Llewelyn Company purchased 3,600 shares of its own $8 par value common stock when the market price of the stock was $34 per share. Which of the following journal entries would be used to record the purchase of treasury stock?

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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Question

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Multiple Choice
Account Title
Debit
Credit
Treasury stock
28,800
Paid-in capital in excess of par
28,800
Common
Account Title
Debit
Credit
Treasury stock
122,400
Cash
122,400
Account Title
Debit
Credit
Treasury stock
122,400
Common stock
28,800
Paid-in capital in excess of par
Common
93,600
Account Title
Debit
Credit
Cash
122,400
Treasury stock
Paid-in capital in excess of par
28,800
Common
93,600

Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.

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