Immediately before Cavecreek Corporation purchased 4
$\begin{array}{lr}
\text { Common stock, \$2 par } & \$ 80,000 \
\text { Additional paid-in capital - common } & 50,000 \
\text { Additional paid-in capital-treasury stock } & 600 \
\text { Retained earnings } & 25,400 \
\text { Treasury stock } & \underline{(2,000)} \
\text { Total shareholders' equity } & \underline{\$ 154,000}
\end{array}$

A. Assume all of the treasury stock was sold for $4,800. Calculate the following amounts:
1. Additional paid-in capital—treasury stock
2. Retained earnings
3. Total shareholders' equity
B. Assume all of the treasury stock was sold for $850. Calculate the following amounts:
1. Additional paid-in capital—treasury stock
2. Retained earnings
3. Total shareholders' equity

Question

Immediately before Cavecreek Corporation purchased 4
$\begin{array}{lr}
\text { Common stock, \$2 par } & \$ 80,000 \
\text { Additional paid-in capital - common } & 50,000 \
\text { Additional paid-in capital-treasury stock } & 600 \
\text { Retained earnings } & 25,400 \
\text { Treasury stock } & \underline{(2,000)} \
\text { Total shareholders' equity } & \underline{\$ 154,000}
\end{array}$

A.	Assume all of the treasury stock was sold for $4,800. Calculate the following amounts:
1. Additional paid-in capital—treasury stock
2. Retained earnings
3. Total shareholders' equity 
B.	Assume all of the treasury stock was sold for $850. Calculate the following amounts:
1. Additional paid-in capital—treasury stock
2. Retained earnings
3. Total shareholders' equity

Quizplus · Accepted Answer

The Answer of Immediately before Cavecreek Corporation purchased 4
$\begin{array}{lr}
\text { Common stock, \$2 par } & \$ 80,000 \
\text { Additional paid-in capital - common } & 50,000 \
\text { Additional paid-in capital-treasury stock } & 600 \
\text { Retained earnings } & 25,400 \
\text { Treasury stock } & \underline{(2,000)} \
\text { Total shareholders' equity } & \underline{\$ 154,000}
\end{array}$

A.	Assume all of the treasury stock was sold for $4,800. Calculate the following amounts:
1. Additional paid-in capital—treasury stock
2. Retained earnings
3. Total shareholders' equity 
B.	Assume all of the treasury stock was sold for $850. Calculate the following amounts:
1. Additional paid-in capital—treasury stock
2. Retained earnings
3. Total shareholders' equity

Immediately Before Cavecreek Corporation Purchased 4 A Assume All of the Treasury Stock Was Sold for $4,800