Reference no: EM131820264

Problem

On October 10, the stockholders' equity of Noble Systems appears as follows.

Common stock-$10 par value, 36,000 shares authorized, issued and outstanding	360,000
Paid-in capital in excess of par value, common stock	108,000
Retained earnings	432,000
Total stockholders' equity	900,000

1. Prepare journal entries to record the following transactions for Noble Systems.

1a. Purchased 4,500 shares of its own common stock at $30 per share on October 11.

1b. Sold 1,200 treasury shares on November 1 for $36 cash per share.

1c. Sold all remaining treasury shares on November 25 for $25 cash per share.

2. Prepare the revised equity section of its balance sheet after the October 11 treasury stock purchase. (Amounts to be deducted should be indicated with a minus sign. Omit the "tiny_mce_markerquot; sign in your response.)