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On January 1, 2017, Vidalia Company issued 30,000 shares of $2 par value common

ID: 2411309 • Letter: O

Question

On January 1, 2017, Vidalia Company issued 30,000 shares of $2 par value common stock for $150,000. On March 1, 2017, the company purchased 6,000 shares of its common stock for $8 per share for the treasury. On June 1, 2017, 1,s00 of the treasury shares are sold for $10 per share. On September 1, 2017, 3,000 treasury shares are sold at $6 per share. Journalize the stock transactions of Vidalia Company in 2017, (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Tities and Explanation Debit Credit Sept. 1

Explanation / Answer

1 January 2017

Vidalia A/c

150,000

            To Share capital

150,000

1 March 2017

Treasury Stock ( 6,000 x $ 8)

48,000

                  Cash

48,000

1 June 2017

Cash (1,500 x $ 10)

15,000

         Treasury Stock (1,500 x $ 8)

12,000

   Paid-in-Capital from Treasury stock (1,500 x $ 2)

3,000

1 Sept 2017

Cash (3,000 x $ 6)

18,000

Paid-in-Capital from Treasury stock (3,000 x $ 2)

6,000

             Treasury Stock (3,000 x $ 8)

24,000

1 January 2017

Vidalia A/c

150,000

            To Share capital

150,000

1 March 2017

Treasury Stock ( 6,000 x $ 8)

48,000

                  Cash

48,000

1 June 2017

Cash (1,500 x $ 10)

15,000

         Treasury Stock (1,500 x $ 8)

12,000

   Paid-in-Capital from Treasury stock (1,500 x $ 2)

3,000

1 Sept 2017

Cash (3,000 x $ 6)

18,000

Paid-in-Capital from Treasury stock (3,000 x $ 2)

6,000

             Treasury Stock (3,000 x $ 8)

24,000