On May 27 Buzz Off Inc reacquired 5500 shares of its common

On May 27, Buzz Off Inc. reacquired 5,500 shares of its common stock at $23 per share. On August 3, Buzz Off sold 3,200 of the reacquired shares at $26 per share. November 14, Buzz Off sold the remaining shares at $22 per share.

Journalize the transactions of May 27, August 3, and November 14. For a compound transaction, if an amount box does not require an entry, leave it blank.

May 27
Aug. 3
Nov. 14

Solution

Journal entries Date Account titles Debit Credit May.27 Treasury Stock $126,500 Cash $126,500 (to record reaquisition of 5500 shares @ $23 per share) Aug.3 Cash $83,200 Treasury Stock $73,600 Additional Paid in Capital - Common stock $9,600 (to record issue of 3200 reaquired shares @ $26) Nov.14 Cash $50,600 Additional Paid in Capital - Common stock $2,300 Treasury Stock $52,900 (to record issue of 2300 reaquired shares @ $22)