In Order to Encourage Employee Ownership of the Company's $1

Essay

In order to encourage employee ownership of the company's $1 par common shares, T Corp. permits any of its employees to buy shares directly from the company through payroll deduction. There are no brokerage fees and shares can be purchased at a 15% discount. During June, employees purchased 150,000 shares at a time when the market price of the shares on the New York Stock Exchange was $10 per share.
Required:
Prepare the appropriate journal entry to record the June purchases of shares under the employee share purchase plan.