Ask Experts Questions for FREE Help !
Ask
    scueva's Avatar
    scueva Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Sep 23, 2010, 09:55 AM
    How do I journalize this?
    Jacobsen Corporation had the following stockholders' equity accounts on January 1, 2010: Common Stock ($5 par) $500,000, Paid-in Capital in Excess of Par Value $200,000, and Retained Earnings $100,000. In 2010, the company had the following treasury stock transactions.
    Mar. 1 Purchased 5,000 shares at $9 per share.
    June 1 Sold 1,000 shares at $12 per share.
    Sept. 1 Sold 2,000 shares at $10 per share.
    Dec. 1 Sold 1,000 shares at $6 per share.


    Jacobsen Corporation uses the cost method of accounting for treasury stock. In 2010, the company reported net income of $30,000.


    Journalize the treasury stock transactions, and prepare the closing entry at December 31, 2010, for net income.
    SSGMaddog's Avatar
    SSGMaddog Posts: 1, Reputation: 1
    New Member
    		  
    #2

    Feb 28, 2011, 07:08 PM
    Mar 1. Purchased 5,000 shares at $9 per share
    Dr Common Treasury Stock 45,000
    Cr Cash 45,000
    June 1. Sold 1,000 shares at $12 per share
    Dr Cash 12,000
    Cr Common Treasury Stock 9,000
    Cr Paid-In Capital from Sale of Treasury Stock 3,000
    Sept 1. Sold 2,000 shares at $10 per share
    Dr Cash 20,000
    Cr Common Treasury Stock 18,000
    Cr Paid-In Capital from Sale of Treasury Stock 2,000
    Dec 1. Sold 1,000 shares at $6 per share
    Dr Cash 6,000
    Dr Paid-In Capital from Sale of Treasury Stock 3,000
    Cr Common Treasury Stock 9,000
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Journalize this [ 2 Answers ]

Acquired building ; the cost $200,000 ; with estimated life 40 years. It will be depreciated over 40 years using straight line depreciation. Salvage value $20,000. How do I journalize this? I have Cash $200,000 Building $200,000 ...

Journalize [ 3 Answers ]

Fortune completed the purchase of a company for $1,110,000 cash. The company’s assets consisted of a warehouse with a book value of $600,000 and a fair value of $900,000, accounts receivable of $200,000, and inventory with a fair value of $300,000. Current liabilities (A/P) are $400,000.The...

How to journalize [ 5 Answers ]

Rent paid as 3 months advance

How would you journalize this? [ 1 Answers ]

Mrs. O'Shea hired Ralph to paint all of her trim on her house. She agreed to pay a total of $400 for the work. She paid $150 now, and would pay the balance later.

Journalize the following? [ 2 Answers ]

Purchased salon equipment on account for $6000(useful life of 5 years).

View more questions Search