Problem
On October 10, the stockholders' equity of Noble Systems appears as follows.
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Common stock-$10 par value, 36,000 shares authorized, issued and outstanding
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360,000
|
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Paid-in capital in excess of par value, common stock
|
108,000
|
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Retained earnings
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432,000
|
|
Total stockholders' equity
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900,000
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1. Prepare journal entries to record the following transactions for Noble Systems.
1a. Purchased 4,500 shares of its own common stock at $30 per share on October 11.
1b. Sold 1,200 treasury shares on November 1 for $36 cash per share.
1c. Sold all remaining treasury shares on November 25 for $25 cash per share.
2. Prepare the revised equity section of its balance sheet after the October 11 treasury stock purchase. (Amounts to be deducted should be indicated with a minus sign. Omit the "tiny_mce_markerquot; sign in your response.)