Question

On January 2, 2019, Frederick Corporation issued 18,000 shares of $10 par value common stock for $13 per share. On April 1, 2019, Alpha reacquired 1,500 of these shares when they were trading $16 per share. On August 1, 2019 Frederick reissued 800 shares of treasury stock at the going market rate of $19 per share. Use this information to prepare the General Journal entry (without explanation) for the August 1 transaction.

Answer 1

Date		Account titles and explanation		Debit(in $)	Credit(in $)
	Jan-02	Cash(18,000 shares*$13)		2,34,000
		Common Stock, $10 par value(18,000 shares*$10)			1,80,000
		Paid-in capital in excess of par-Common stock			54,000
	Apr-01	Common Stock(1,500 shares*$16)
		Cash(1,500 shares*$16)		24,000
					24,000
	Aug-01	Cash(800 shares*$19)		15,200
		Treasury Stock(800 shares*$16)			12,800
		Additional paid in capital-Treasury stock(800 shares*$3)			2,400