Reference no: EM132536397

Question - The following information applies to Questions 6 and 7. In 2015, a company with a December 31 fiscal year end issued 100,000 shares of $1 par value common stock to investors for $10 per share. As of December 31, 2018, the company had 100,000 shares of $1 par value common stock issued and outstanding; the company had not repurchased any of its outstanding shares of common stock. On May 13, 2019, the company repurchased 26,000 shares of its common stock for $16 per share. On July 27, 2019, the company sold 7,000 treasury shares for $23 per share. On August 14, 2019, the company sold 9,000 treasury shares for $13 per share.

Assuming there was no balance in the "Additional Paid-in Capital from Treasury Stock Transactions" account prior to 2019, what is the balance in this account at the end of 2019?

A. Credit balance of $22,000.

B. Debit balance of $7,000.

C. Debit balance of $22,000.

D. A balance of $0.

E. Credit balance of $118,000.