Find ajax inc treasury stock account shows a balance of

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Problem 1: When it began business in 2026, Ajax, Inc. issued 150,000 shares of $1 par stock for $1,500,000. In the following year, the company repurchased 20,000 shares for $240,000 and held them as treasury stock using the cost method. In 2028, 5,000 of the repurchased shares were resold for $90,000. In its balance sheet dated December 31, 2028, Ajax, Inc.'s treasury stock account shows a balance of:

Option 1: $150,000

Option 2: $180,000

Option 3: $90,000

Option 4: $240,000

Reference no: EM132815324

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