Question

3.	The Jennings Group issued 3 million shares of $10 par value stock for $42
	a share on January 1, 2006.
	The Jennings Group issued an additional 7 million shares of $10 par value stock for $44
	a share on March 7, 2006.
	The Jennings Group reacquired 1 million of its shares at $50 per share as treasury
	stock on March 1, 2006.
	The Jenning Group reacquired and retired 4 million of its shares at $47 per share
	on April 5, 2006
	The Jennings Group reacquired 1 million of its shares at $45 per share as treasury
	stock on May 7, 2006
	On July 15, 2006, Jennings issued 1.5 million treasury shares at $49 per share
	On October 27, 2006 Jennings sold 250,000 treasury shares at $52 per share
	Record all the applicable journal entries using the weighted average method

(check figure AVG: after all entries have been recorded - APIC account = (200,400,000) & Treasury Stock = 11,875,000)

Answer 1

Date	Account Name		Dr	Cr
01-01-2006	Bank A/c Dr		12,60,00,000
		To Share Capital A/c		3,00,00,000
		To Securities Premiun A/c		9,60,00,000
	(Being 3m shares issued FV 10 @ 42)
01-03-2006	Treasury Stock Dr		5,00,00,000
		To Bank Ac		5,00,00,000
	(Being 1m shares FV 10 acquired @ 50)
07-03-2006	Bank A/c Dr		30,80,00,000
		To Share Capital A/c		7,00,00,000
		To Securities Premiun A/c		23,80,00,000
	(Being 7m shares issued FV 10 @ 44)
05-04-2006	Common Stock A/c Dr		18,80,00,000
		To Bank Ac		18,80,00,000
	(Being 4m shares FV 10 acquired @ 47)
05-04-2006	Share Capital A/c Dr		4,00,00,000
		Common Stock A/c Dr		4,00,00,000
	(Being 4m shares FV 10 retired)
07-05-2006	Treasury Stock Dr		4,50,00,000
		To Bank Ac		4,50,00,000
	(Being 1m shares FV 10 acquired @ 45)
15-07-2006	Bank A/Dr		7,35,00,000
		To Treasury Stock A/c		1,50,00,000
		To Addition paid in capital- treasury stock		5,85,00,000
	(Being 1.5m shares FV 10 issued @ 49)
27-10-2006	Bank A/Dr		1,30,00,000
		To Treasury Stock A/c		25,00,000
		To Addition paid in capital- treasury stock		1,05,00,000
	(Being .25m shares FV 10 sold @ 52)