Question 16 - Journalize the following transactions On January 1, 2019, CD Audio and Video Inc. issues 20,000 shares of $8 par val common stock for $10. On January 15, 2019, the company issues 5,000 shares of preferred stock 2% stock, $100 par value for $125. On October 1, 2019 declare a dividend of $30,000. December 15, 2019, Journalize the payment of dividends on December 15th. On December 20, 2019, CD Corporation re-acquires 5,000 shares of common stock for $15. On January 15, 2020, ,000 shares of the re-acquired stock were sold $17.
Question 16 - Journalize the following transactions On January 1, 2019, CD Audio and Video Inc. issues 20,000 shares of $8 par val common stock for $10. On January 15, 2019, the company issues 5,000 shares of preferred stock 2% stock, $100 par value for $125. On October 1, 2019 declare a dividend of $30,000. December 15, 2019, Journalize the payment of dividends on December 15th. On December 20, 2019, CD Corporation re-acquires 5,000 shares of common stock for $15. On January 15, 2020, ,000 shares of the re-acquired stock were sold $17.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Treasury stock refers to a method used by the organization to repurchase the issued stock. It is also known with the name of buyback of share. The management has the power to reissue these treasury stock in the future.
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