A Company Purchases 600 Shares of Its $200 Par Value

Multiple Choice

A company purchases 600 shares of its $200 par value common stock at $220 per share.It then reissues 100 shares at $228 per share.The entry upon reissue of the stock would be:

A) Cash 22,800
Treasury Stock-Common 22,000
Paid-in Capital,Treasury Stock 800
B) Cash 22,800
Treasury Stock-Common 22,800
C) Cash 22,800
Treasury Stock-Common 22,000
Gain on Sale of Treasury Stock 800
D) Cash 22,800
Treasury Stock-Common 20,000
Retained Earnings 2,800