Earlier this year, a company purchased 100 shares of its own $1 par value common stock for $10 per share. Today, the company resells 50 shares of this treasury stock for $15 per share. What journal entry should be made to record the resale of the 50 shares today?

Earlier this year, a company purchased 100 shares of its own $1 par value common stock for $10 per share. Today, the company resells 50 shares of this treasury stock for $15 per share. What journal entry should be made to record the resale of the 50 shares today?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter15: Contributed Capital

Section: Chapter Questions

Problem 1RE: Brown Corporation issues 800 shares of its 5 par common stock for 20 per share. Prepare the journal...

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Question

Earlier this year, a company purchased 100 shares of its own $1 par value
common stock for $10 per share. Today, the company resells 50 shares of this
treasury stock for $15 per share. What journal entry should be made to record
the resale of the 50 shares today?

Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.

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