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9- In 2018, Southwestern Corporation completed the treasury stock transactions listed below. February 2: Reacquired 64,000...

9- In 2018, Southwestern Corporation completed the treasury stock transactions listed below. February 2: Reacquired 64,000 shares at $11.40. March 17: Sold 14,000 treasury shares at $13.70. May 17: Sold 19,000 treasury shares at $7.70. Southwestern had issued 100,000 shares of its $1 par common stock for $10 several months ago. Required: Prepare the journal entries to record the above transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) 1-Reacquired 64,000 shares at $11.40 2-Sold 14,000 shares at $13.70. 3-Sold 19,000 shares at $7.70.

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Answer #1
Debit Credit Calculation
2-Feb Treasury stock 729600 =64000*11.4
       Cash 729600
17-Mar Cash 191800 =14000*13.7
      Treasury stock 159600 =14000*11.4
      Paid in capital-Share repurchase 32200
17-May Cash 146300 =19000*7.7
Paid in capital-Share repurchase 32200
Retained earnings 38100 (216600-146300-32200)
      Treasury stock 216600 =19000*11.4
Note: Paid in capital from sale of Treasury stock can also be used instead of Paid in capital-Share repurchase
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