Problem: On January 1, 2010, the stockholders equity section of Lopez 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 30,000 shares for cash at $15 per share.
July 1 Sold 6,000 treasury shares for cash at $17 per share.
Sept. 1 Sold 5,000 treasury shares for cash at $14 per share
(1) Journalize the treasury stock transactions.
(2) Restate the entry for September 1, assuming the treasury shares were sold at $12 per share.