The December 31, 2013, balance sheet of Springer Company included the following: Springer completed the following transactions in 2013 relating to treasury stock:
March 17: Reacquired 5 million shares at $10.
May 17: Reacquired 3 million shares at $9.
August 10: Sold 6 million shares at $12.
Required:
Assuming Springer uses the cost method, prepare journal entries to record the foregoing transactions on a FIFO basis.

Question

The December 31, 2013, balance sheet of Springer Company included the following:  Springer completed the following transactions in 2013 relating to treasury stock:
March 17: Reacquired 5 million shares at $10.
May 17: Reacquired 3 million shares at $9.
August 10: Sold 6 million shares at $12.
Required:
Assuming Springer uses the cost method, prepare journal entries to record the foregoing transactions on a FIFO basis.

Quizplus · Accepted Answer

The Answer of The December 31, 2013, balance sheet of Springer Company included the following:  Springer completed the following transactions in 2013 relating to treasury stock:
March 17: Reacquired 5 million shares at $10.
May 17: Reacquired 3 million shares at $9.
August 10: Sold 6 million shares at $12.
Required:
Assuming Springer uses the cost method, prepare journal entries to record the foregoing transactions on a FIFO basis.

The December 31, 2013, Balance Sheet of Springer Company Included