On October 10, the stockholders’ equity of Sherman Systems appears as follows. Common stock–$10 par value, 88,000 shares authorized, issued, and outstanding $ 880,000 Paid-in capital in excess of par value, common stock 296,000 Retained earnings 992,000 Total stockholders’ equity $ 2,168,000 1. Prepare journal entries to record the following transactions for Sherman Systems. Purchased 6,600 shares of its own common stock at $41 per share on October 11. Sold 1,400 treasury shares on November 1 for $47 cash per share. Sold all remaining treasury shares on November 25 for $36 cash per share. 2. Prepare the stockholders' equity section after the October 11 treasury stock purchase.
On October 10, the stockholders’ equity of Sherman Systems appears as follows. Common stock–$10 par value, 88,000 shares authorized, issued, and outstanding $ 880,000 Paid-in capital in excess of par value, common stock 296,000 Retained earnings 992,000 Total stockholders’ equity $ 2,168,000 1. Prepare journal entries to record the following transactions for Sherman Systems. Purchased 6,600 shares of its own common stock at $41 per share on October 11. Sold 1,400 treasury shares on November 1 for $47 cash per share. Sold all remaining treasury shares on November 25 for $36 cash per share. 2. Prepare the stockholders' equity section after the October 11 treasury stock purchase.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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On October 10, the
| Common stock–$10 par value, 88,000 shares authorized, issued, and outstanding |
$ | 880,000 | |
| Paid-in capital in excess of par value, common stock | 296,000 | ||
| 992,000 | |||
| Total stockholders’ equity | $ | 2,168,000 | |
1. Prepare
- Purchased 6,600 shares of its own common stock at $41 per share on October 11.
- Sold 1,400 treasury shares on November 1 for $47 cash per share.
- Sold all remaining treasury shares on November 25 for $36 cash per share.
2. Prepare the stockholders' equity section after the October 11
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