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  3. pharoah company had the following stockholders' eq

Pharoah Company had the following stockholders' equity accounts on January 1, 2022: Common Stock ($4...

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Accounting

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Pharoah Company had the following stockholders' equity accounts on January 1, 2022: Common Stock ($4 par) $400,000, Paid-in Capital in Excess of Par-Common Stock $185,000, and Retained Earnings $120,000. In 2022, the company had the following treasury stock transactions. Mar. 1 Purchased 6,000 shares at $9 per share. June 1 Sold 1,500 shares at $13 per share. Sept. 1 Sold 1,000 shares at $11 per share. Dec. 1 Sold 1,000 shares at $7 per share. Pharoah Company uses the cost method of accounting for treasury stock. In 2022, the company reported net income of $35,000. Mar. 1 Treasury Stock 54000 Cash 54000 June 1 Cash 19500 Treasury Stock 13500 Paid-in Capital from Treasury Stock 6000 Sept. 1 Cash 11000 Treasury Stock 9000 Paid-in Capital from Treasury Stock 2000 Dec. 1 Cash 7000 Paid-in Capital from Treasury Stock 2000 Treasury Stock 9000 Dec. 31 Income Summary 35000 Retained Earnings 35000 Paid-in Capital from Treasury Stock Dec. 1 2000 June 1 6000 Sept. 1 2000 Dec. 31 6000 Treasury Stock Mar. 1 54000 June 1 13500 Sept. 1 9000 Dec. 1 9000 Dec. 31 v 22500 Retained Earnings Jan. 1 120000 Dec. 31 35000 Dec. 31 155000 Pharoah Company Balance Sheet (Partial) December 31, 2022 Stockholders' Equity Paid-in Capital

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