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On January 1, 2010, the stockholders' equity section of Nunez Corporation shows:
Common stock ($5 par value) $1,500,000; paid-in capital in excess of par value $1,000,000; and retained earnings $1,200,000. During the year, the following treasury stock transactions occurred.Mar. 1 Purchased 50,000 shares for cash at $15 per share.July 1 Sold 10,000 treasury shares for cash at $17 per share.Sept. 1 Sold 8,000 treasury shares for cash at $14 per share.
Instructions
(a) Journalize the treasury stock transactions.
(b) Restate the entry for September 1, assuming the treasury shares were sold at $12 per share.
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