Brief Exercise 158 Crane Inc has outstanding 11800 shares of

Brief Exercise 15-8 Crane Inc. has outstanding 11,800 shares of $10 par value common stock. On July 1, 2017, Crane reacquired 104 shares at $88 per share. On September 1, Crane reissued 61 shares at $94 per share. On November 1, Crane reissued 43 shares at $85 per share. Prepare Crane\'s journal entries to record these transactions using the cost method. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select \"No Entry\" for the account titles and enter O for the amounts.

Solution

Journal Entries Date Account Title and explanation Debit Credit July, 01 2017 Treasury Stock (104 Shares X $ 88 Per Shares) $                     9,152     To Cash Account $                       9,152 (To Record the purchase of treasurry stock) Sept, 01 2017 Cash Account(61 shares X $ 94 Per shares) $                     5,734      To Treasurry Stock ($ 61 Shares X 88 Per Shares) $                       5,368     To Additional Paid in Capital(61 Shares X $ 6 Per shares) $                           366 (To Record the issuance of the the tresaurry Stock) Nove, 01 2017 Cash Account(43 shares X $ 85 Per shares) $                     3,655 Additional Paid in Capital(43 Shares X $ 3 Per shares) $                        129      To Treasurry Stock ($ 43 Shares X 88 Per Shares) $                       3,784 (To Record the issuance of the the tresaurry Stock)