Lear Flower Shop presented the stockholders' equity section of its balance sheet on January 1, 2015, as follows:
All common shares were originally sold for $6 each. The following transactions occurred during 2015:
- Reacquired 3,000 shares of common stock at $15 per share on February 16.
- Sold 2,000 shares of treasury stock at $20 per share on June 1.
Part 1. Show the effects of the transactions on the accounting equation.
Part 2. How many shares of stock are outstanding at June 1, immediately after the sale of the 2,000 shares of treasury stock?

Question

Lear Flower Shop presented the stockholders' equity section of its balance sheet on January 1, 2015, as follows:
  All common shares were originally sold for $6 each. The following transactions occurred during 2015:
- Reacquired 3,000 shares of common stock at $15 per share on February 16.
- Sold 2,000 shares of treasury stock at $20 per share on June 1.
Part 1. Show the effects of the transactions on the accounting equation.
  Part 2. How many shares of stock are outstanding at June 1, immediately after the sale of the 2,000 shares of treasury stock?

Quizplus · Accepted Answer

The Answer of Lear Flower Shop presented the stockholders' equity section of its balance sheet on January 1, 2015, as follows:
  All common shares were originally sold for $6 each. The following transactions occurred during 2015:
- Reacquired 3,000 shares of common stock at $15 per share on February 16.
- Sold 2,000 shares of treasury stock at $20 per share on June 1.
Part 1. Show the effects of the transactions on the accounting equation.
  Part 2. How many shares of stock are outstanding at June 1, immediately after the sale of the 2,000 shares of treasury stock?

Lear Flower Shop Presented the Stockholders' Equity Section of Its