Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

Problem 11-2A Date Account Titles and Explanation Debit Credit Mar. 1 June 1 Sep

ID: 2484434 • Letter: P

Question

Problem 11-2A

Date

Account Titles and Explanation

Debit

Credit

Mar. 1

June 1

Sept. 1

Dec. 1

Dec. 31

SHOW LIST OF ACCOUNTS

Paid-in Capital from Treasury Stock

Date

Explanation

Ref

Debit

Credit

Balance

J10

J10

J10

Treasury Stock

Date

Explanation

Ref

Debit

Credit

Balance

J10

J10

J10

J10

Retained Earnings

Date

Explanation

Ref

Debit

Credit

Balance

Balance

?

J10

SHOW LIST OF ACCOUNTS

FECHTER CORPORATION
Balance Sheet (Partial)
December 31, 2015

SHOW LIST OF ACCOUNTS

Problem 11-2A

Fechter Corporation had the following stockholders’ equity accounts on January 1, 2015: Common Stock ($4 par) $402,040, Paid-in Capital in Excess of Par—Common Stock $223,060, and Retained Earnings $106,150. In 2015, the company had the following treasury stock transactions.
Mar. 1 Purchased 5,530 shares at $8 per share. June 1 Sold 1,050 shares at $12 per share. Sept. 1 Sold 1,550 shares at $10 per share. Dec. 1 Sold 1,300 shares at $7 per share.
Fechter Corporation uses the cost method of accounting for treasury stock. In 2015, the company reported net income of $33,720. Journalize the treasury stock transactions, and prepare the closing entry at December 31, 2015, for net income. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.)

Date

Account Titles and Explanation

Debit

Credit

Mar. 1

June 1

Sept. 1

Dec. 1

Dec. 31

SHOW LIST OF ACCOUNTS

Open accounts for Paid-in Capital from Treasury Stock, Treasury Stock, and Retained Earnings. Post to these accounts using J10 as the posting reference. (Post entries in the order of journal entries presented in the previous part.)

Paid-in Capital from Treasury Stock

Date

Explanation

Ref

Debit

Credit

Balance

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

J10

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

J10

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

J10

Treasury Stock

Date

Explanation

Ref

Debit

Credit

Balance

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

J10

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

J10

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

J10

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

J10

Retained Earnings

Date

Explanation

Ref

Debit

Credit

Balance

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

Balance

?

Jan. 1 Mar. 1 June 1 Sept. 1 Dec. 1 Dec. 31

J10

SHOW LIST OF ACCOUNTS

Prepare the stockholders’ equity section for Fechter Corporation at December 31, 2015. (Enter the account name only and do not provide the descriptive information provided in the question.)

FECHTER CORPORATION
Balance Sheet (Partial)
December 31, 2015

Additional Paid-in CapitalCapital StockCurrent AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesPaid-in CapitalProperty, Plant and EquipmentStockholders' EquityTotal Additional Paid-in CapitalTotal AssetsTotal Capital StockTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Property, Plant and EquipmentTotal Stockholders' Equity

Additional Paid-in CapitalCapital StockCurrent AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesPaid-in CapitalProperty, Plant and EquipmentStockholders' EquityTotal Additional Paid-in CapitalTotal AssetsTotal Capital StockTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Property, Plant and EquipmentTotal Stockholders' Equity

Additional Paid-in CapitalCapital StockCurrent AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesPaid-in CapitalProperty, Plant and EquipmentStockholders' EquityTotal Additional Paid-in CapitalTotal AssetsTotal Capital StockTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Property, Plant and EquipmentTotal Stockholders' Equity

$

Additional Paid-in CapitalCapital StockCurrent AssetsCurrent LiabilitiesIntangible AssetsLong-term InvestmentsLong-term LiabilitiesPaid-in CapitalProperty, Plant and EquipmentStockholders' EquityTotal Additional Paid-in CapitalTotal AssetsTotal Capital StockTotal Current AssetsTotal Current LiabilitiesTotal Intangible AssetsTotal LiabilitiesTotal Liabilities and Stockholders' EquityTotal Long-term InvestmentsTotal Long-term LiabilitiesTotal Paid-in CapitalTotal Paid-in Capital and Retained EarningsTotal Property, Plant and EquipmentTotal Stockholders' Equity

$

    Additional Paid-in Capital    Capital Stock    Current Assets    Current Liabilities    Intangible Assets    Long-term Investments    Long-term Liabilities    Paid-in Capital    Property, Plant and Equipment    Stockholders' Equity    Total Additional Paid-in Capital    Total Assets    Total Capital Stock    Total Current Assets    Total Current Liabilities    Total Intangible Assets    Total Liabilities    Total Liabilities and Stockholders' Equity    Total Long-term Investments    Total Long-term Liabilities    Total Paid-in Capital    Total Paid-in Capital and Retained Earnings    Total Property, Plant and Equipment    Total Stockholders' Equity    

    Additional Paid-in Capital    Capital Stock    Current Assets    Current Liabilities    Intangible Assets    Long-term Investments    Long-term Liabilities    Paid-in Capital    Property, Plant and Equipment    Stockholders' Equity    Total Additional Paid-in Capital    Total Assets    Total Capital Stock    Total Current Assets    Total Current Liabilities    Total Intangible Assets    Total Liabilities    Total Liabilities and Stockholders' Equity    Total Long-term Investments    Total Long-term Liabilities    Total Paid-in Capital    Total Paid-in Capital and Retained Earnings    Total Property, Plant and Equipment    Total Stockholders' Equity    

    Additional Paid-in Capital    Capital Stock    Current Assets    Current Liabilities    Intangible Assets    Long-term Investments    Long-term Liabilities    Paid-in Capital    Property, Plant and Equipment    Stockholders' Equity    Total Additional Paid-in Capital    Total Assets    Total Capital Stock    Total Current Assets    Total Current Liabilities    Total Intangible Assets    Total Liabilities    Total Liabilities and Stockholders' Equity    Total Long-term Investments    Total Long-term Liabilities    Total Paid-in Capital    Total Paid-in Capital and Retained Earnings    Total Property, Plant and Equipment    Total Stockholders' Equity    

    Add    Less    

:

    Additional Paid-in Capital    Capital Stock    Current Assets    Current Liabilities    Intangible Assets    Long-term Investments    Long-term Liabilities    Paid-in Capital    Property, Plant and Equipment    Stockholders' Equity    Total Additional Paid-in Capital    Total Assets    Total Capital Stock    Total Current Assets    Total Current Liabilities    Total Intangible Assets    Total Liabilities    Total Liabilities and Stockholders' Equity    Total Long-term Investments    Total Long-term Liabilities    Total Paid-in Capital    Total Paid-in Capital and Retained Earnings    Total Property, Plant and Equipment    Total Stockholders' Equity    

$

SHOW LIST OF ACCOUNTS

Explanation / Answer

Debit Credit Mar-01 Treasury Stock 22120 Additional Paid in capital 22120 To cash A/C 44240 Jun-01 Cash A/C dr. 12600 To Coomon Stock 4200 To Additional paid up capital 8400 Sep-01 Cash A/C dr. 15500 To Coomon Stock 6200 To Additional paid up capital 9300 Dec-01 Cash A/C dr. 9100 To Coomon Stock 5200 To Additional paid up capital 3900