Ross Corporation reported the? following: Common? Stock, $5 ?par, 209,000 shares
ID: 2511317 • Letter: R
Question
Ross Corporation reported the? following: Common? Stock, $5 ?par, 209,000 shares? authorized, 170,000 shares issued $850,000 Paid in Capital in Excess of Parlong —Common 207,000 Retained Earnings 239,000 Total? Stockholders' Equity $1,296,000 Which of the following is included in the entry to record the? corporation's purchase of 40,000 shares of its common stock for $15.00 per? share?
A.
Retained Earnings is debited for
$ 600 comma 000$600,000.
B.
Paidminus?In
Capital From Treasury Stock Transactions is credited for
$ 350 comma 000$350,000.
C.
Common
Stocklong dash—$ 5$5
Par Value is credited for
$ 200 comma 000$200,000.
D.
Treasury
Stocklong dash—Common
is debited for
$ 600 comma 000$600,000.
Explanation / Answer
Answer is Treasury Stock? - Common is debited for $$600,000.
Treasury stock purchased =40,000*15=$600,000
Journal entry
DR CR Treasury stock 600000 Cash 600000Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.