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I already know the answer to the quesiton but the thing I dont understand is why $300,000 was used for "repurchased and retirement of common shares". I don't understand why it was used, I know where it's from. Can someone explain?

'E15.15 (L.02 2, 3,5) (Shareholders' Equity Section) Radford Corporation's charter authorized i million \$11 par value common shares, and 300,0006% cumulative and non-participating preferred shares, with a par value of $100 per share. The corporation made the following share transactions through December 31, 2023: zog,000 common shares were issued for $3.6 million and 0,000 greferred shares were issued for machinery valued at $1,475,000. Subschiptions fo 10,500 ommon shares have been taken, and 30% of the subscription price of $16 per share has been collected. The shares will be isstert when the subscription price is collected in full. In addition. 10,000 common shares have been repurchased for $15 and retired. The Retained Earnings balance is 180,000 yefore considering the transactions above. Instructions a. Prepare the shareholders' equity section of the SEP in good form. RADFORD CORPORATION Partial Statement of Financial Position December 31, 2023 Shareholders' equity: Share capital: Preferred shares, $100 par value, 6% cumulative and non-participating, authorized 300,000 shares, issued and outstanding 10,000 shares $1,000,000 Common shares, $11 par value, authorized 1,000,000 shares, issued and outstanding 290,000 'shares' Common shares subscribed, 10,500 hares 2 Total common shares issued and to be issued Total share capital Contributed surplus 3 Total paid-in capital Retained earnings $3,190,000 115,500 2 Subscribed 10,500 $11 =115,500 BContributed surplus balance is composed of the following: From issue of preferred shares: $1,475,000(10,000sharesX$100parvalue)=$475,000 From sale of common shares: $3,600,000(300,000sharesX$11parvalue)=300,000 From sale of common share subscription: ( $16 per share $11 par value) 10,500 shares 52,500 From repurchase and retirement of common shares: $300,000(10,000/300,000) (10.000) $817.500 'E15.15 (L.02 2, 3,5) (Shareholders' Equity Section) Radford Corporation's charter authorized i million \$11 par value common shares, and 300,0006% cumulative and non-participating preferred shares, with a par value of $100 per share. The corporation made the following share transactions through December 31, 2023: zog,000 common shares were issued for $3.6 million and 0,000 greferred shares were issued for machinery valued at $1,475,000. Subschiptions fo 10,500 ommon shares have been taken, and 30% of the subscription price of $16 per share has been collected. The shares will be isstert when the subscription price is collected in full. In addition. 10,000 common shares have been repurchased for $15 and retired. The Retained Earnings balance is 180,000 yefore considering the transactions above. Instructions a. Prepare the shareholders' equity section of the SEP in good form. RADFORD CORPORATION Partial Statement of Financial Position December 31, 2023 Shareholders' equity: Share capital: Preferred shares, $100 par value, 6% cumulative and non-participating, authorized 300,000 shares, issued and outstanding 10,000 shares $1,000,000 Common shares, $11 par value, authorized 1,000,000 shares, issued and outstanding 290,000 'shares' Common shares subscribed, 10,500 hares 2 Total common shares issued and to be issued Total share capital Contributed surplus 3 Total paid-in capital Retained earnings $3,190,000 115,500 2 Subscribed 10,500 $11 =115,500 BContributed surplus balance is composed of the following: From issue of preferred shares: $1,475,000(10,000sharesX$100parvalue)=$475,000 From sale of common shares: $3,600,000(300,000sharesX$11parvalue)=300,000 From sale of common share subscription: ( $16 per share $11 par value) 10,500 shares 52,500 From repurchase and retirement of common shares: $300,000(10,000/300,000) (10.000) $817.500

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