Question

In 2021, Borland Semiconductors entered into the transactions described below. In 2018, Borland had issued 215 million shares of its $1 par common stock at $47 per share.

Required:
Assuming that Borland retires shares it reacquires, record the appropriate journal entry for each of the following transactions: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Enter your answers in millions (i.e., 10,000,000 should be entered as 10).)

1. On January 2, 2021, Borland reacquired 11 million shares at $45.00 per share.
2. On March 3, 2021, Borland reacquired 11 million shares at $50 per share.
3. On August 13, 2021, Borland sold 1 million shares at $55 per share.
4. On December 15, 2021, Borland sold 2 million shares at $50 per share.

Answer 1

Borland semiconductors
Journal Entries
Date	Account Title	Debit ($)	Credit ($)
Jan.2, 2021	Common stock ( 11 * 1 )	11
	Additional paid in capital ( 11 * [ 47 -1 ] )	506
	Paid in capital from share repurchase		22
	Cash ( 11 * 45 )		495
March 3, 2021	Common stock ( 11 * 1 )	11
	Additional paid in capital ( 11 * [ 47 -1 ] )	506
	Paid in capital from share repurchase	22
	Retained earnings	11
	Cash ( 11 * 50 )		550
Aug. 13, 2021	Cash ( 1 * 55 )	55
	Common stock ( 1 * 1 )		1
	Additional paid in capital (1 * 54 )		54
Dec.15, 2021	Cash ( 2 * 50 )	100
	Common stock ( 2 * 1 )		2
	Additional paid in capital ( 2 * 49 )		98