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Treasury Stock Transactions Biscayne Bay Water Inc. bottles and distributes spring water. On May 14 of the current year, Biscayne Bay Water Inc. reacquired 2,400 shares of its common stock at $51 per share. On September 6, Biscayne Bay Water Inc. sold 1,900 of the reacquired shares at $54 per share. The remaining 500 shares were sold at $47 per share on November 30. a. Journalize the transactions of May 14, September 6, and November 30. For a compound transaction, if an amount box does not require an entry, leave it blank. May 14 Treasury Stock 122,400 Cash 122,400 Sept. 6 Cash 153,900 Paid-In Capital in Excess of Par-Common Stock x 5,700 x Paid-in Capital from Sale of Treasury Stock 96,900 X Nov. 30 Cash Paid-in Capital from Sale of Treasury Stock Treasury Stock Feedback Check My Work b. What is the balance in Paid-In Capital from Sale of Treasury Stock on December 31 of the current year? C. Where will the balance in Paid-In Capital from Sale of Treasury Stock be reported on the balance sheet? d. For what reasons might Biscayne Bay Water Inc. have purchased the treasury stock? Reporting Paid-In Capital The following accounts and their balances were selected from the adjusted trial balance of Point Loma Group Inc., a freight forwarder, at October 31, the end of the current fiscal year: $420,000 Common Stock, no par, $14 stated value Paid-In Capital from Sale of Treasury Stock 264,900 Paid-In Capital in Excess of Par-Preferred Stock 83,520 Paid-In Capital in Excess of Stated Value-Common Stock 1,008,000 Preferred 2% Stock, $120 par 696,000 Retained Earnings 3,264,000 Prepare the Paid-In Capital portion of the Stockholders' Equity section of the balance sheet using Method 1 of Exhibit 8. There are 100,000 shares of common stock authorized and 15,000 shares of preferred stock authorized. Point Loma Group Inc., Stockholders' Equity October 31, 20XX Paid-in Capital: .. Total Paid-In Capital

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