Question

Treasury stock transactions.
T-Bone Corporation engaged in the following treasury stock transactions during the current year:

January 10 – Purchased 5,000 shares of treasury stock at $78 per share

June 7 – Reissued 2,300 shares of treasury stock acquired on January 10th at a price of $83 per share

November 14 – Reissued 250 shares of treasury stock at a price of $$75 per share

Required: Record journal entries for all three transactions including dates and descriptions

Answer 1

Date	Account Titles & Explanation	Debit	Credit
Jan. 10	Treasury Stock (5000 * $78)	$390000
	Cash		$390000
	(To record purchase of treasury stock)
June 7	Cash (2300 * $83)	$190900
	Treasury Stock (2300 * $78)		$179400
	Additional paid in capital (2300 * $5)		$11500
	(To record re-issue of treasury stock)
Nov. 14	Cash (250 * $75)	$18750
	Additional paid in capital (250 * $3)	$750
	Treasury Stock (250 * $78)		$19500
	(To record re-issue of treasury stock)