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On October 10, the stockholders equity section of Sherman Systems appears as follows.

Common stock$10 par value, 92,000 shares authorized, issued, and outstanding	$ 920,000
Paid-in capital in excess of par value, common stock	316,000
Retained earnings	1,024,000
Total stockholders equity	$ 2,260,000

Prepare journal entries to record the following transactions for Sherman Systems.

Purchased 7,000 shares of its own common stock at $45 per share on October 11.

Sold 1,500 treasury shares on November 1 for $51 cash per share.

Sold all remaining treasury shares on November 25 for $44 cash per share.

Prepare the stockholders' equity section after the October 11 treasury stock purchase.

Required 1)

Prepare journal entries to record the following transactions for Sherman Systems. a. Purchased 7,000 shares of its own common stock at $45 per share on October 11. b. Sold 1,500 treasury shares on November 1 for $51 cash per share. c. Sold all remaining treasury shares on November 25 for $44 cash per share.

Required 2)

Prepare the stockholders' equity section after the October 11 treasury stock purchase.

	Revised Stockholders' Equity Section of Balance Sheet After October 11 Total contributed capital 0 Total 0 Total stockholders equity $0

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