The Tornado Truck Body Company decides to repurchase 10,000 shares of its common stock on January 20. The stock has $1 par value, and the market value per share of common stock on January 20 is $8.75. What account(s) and amount(s) would be debited in the required journal entry? Group of answer choices A)Treasury stock $87,500 b)Treasury stock $10,000 c)Treasury stock $10,000 and additional paid-in capital-treasury stock $77,500 d)Cash $87,500 E)None of the above
The Tornado Truck Body Company decides to repurchase 10,000 shares of its common stock on January 20. The stock has $1 par value, and the market value per share of common stock on January 20 is $8.75. What account(s) and amount(s) would be debited in the required journal entry? Group of answer choices A)Treasury stock $87,500 b)Treasury stock $10,000 c)Treasury stock $10,000 and additional paid-in capital-treasury stock $77,500 d)Cash $87,500 E)None of the above
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The Tornado Truck Body Company decides to repurchase 10,000 shares of its common stock on January 20. The stock has $1 par value, and the market value per share of common stock on January 20 is $8.75. What account(s) and amount(s) would be debited in the required
Group of answer choices
A)Treasury stock $87,500
b)Treasury stock $10,000
c)Treasury stock $10,000 and additional paid-in capital-treasury stock $77,500
d)Cash $87,500
E)None of the above
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