Question

Required information The following information applies to the questions displayed below.) Part 1 of 3 Worldwide Company obtained a charter from the state in January that authorized 200,000 shares of common stock, $10 par value. During the first year, the company earned $38.900, declared no dividends, and the following selected transactions occurred in the order given: 10 points a. Issued 67,000 shares of the common stock at $11 cash per share. b. Reacquired 2,700 shares at $14 cash per share from stockholders, the shares are now held in treasury. c. Reissued 1,350 of the shares in transaction (b) two months later at $17 cash per share. eBook Required: 1. Indicating the account, amount, and direction of the effect on above transaction. (Enter any decreases to Assets, Liabilities and Stockholders' Equity with a minus sign.) Print Assets Liabilities Stockholders' Equity References

Answer 1

	Assets			=	liabilties		+	Stockholder's Equity
a.	Cash		737000					common stock			670000
								Addittional paid in capital			67000
b.	Cash		-37800					Treasury stock			-37,800
c.	Cash		22950					Treasury stock			18900
								paid in excess from Treasury stock			4050