1. CENTURY 21 ACCOUNTING © Thomson/South-Western LESSON 12-2 Treasury Stock Transactions

2. CENTURY 21 ACCOUNTING © Thomson/South-Western 2 LESSON 12-2 Buying Treasury Stock A corporation’s own stock that has been issued and reacquired is called treasury stock. Reduces amount of stock outstanding Treasury stock is still considered issued stock

3. CENTURY 21 ACCOUNTING © Thomson/South-Western 3 LESSON 12-2 2.Enter the account title. 3.Record the check number. 1.Write the date. 5.Record the credit amount. 4.Write the debit amount. BUYING TREASURY STOCK page 350 12345

4. CENTURY 21 ACCOUNTING © Thomson/South-Western 4 LESSON 12-2 54 SELLING TREASURY STOCK FOR ORIGINAL COST page 351 2.Enter the account title. 3.Record the receipt number. 1.Write the date. 5.Record the credit amount. 4.Write the debit amount. 123

5. CENTURY 21 ACCOUNTING © Thomson/South-Western 5 LESSON 12-2 Number of Shares Value per Share =Value × 4.Record the receipt number. SELLING TREASURY STOCK FOR MORE THAN ORIGINAL COST page 352 1.Calculate the amounts to be recorded. 2.Write the date. 6.Record the credit amounts. 5.Write the debit amount. 3.Enter the account titles. 1 2 3 45 6 200$15.00=$3,000.00 × Total received20012.00= 2,400.00 × Original cost $ 600.00Amount received in excess of original cost

6. CENTURY 21 ACCOUNTING © Thomson/South-Western 6 LESSON 12-2 Number of Shares Value per Share =Value × 4.Record the receipt number.1.Calculate the amounts to be recorded. 2.Write the date. 6.Record the credit amount. 5.Write the debit amount. 3.Enter the account title. 1 2 3 4 6 page 353 50$12.00=$600.00 × Original cost5010.00= 500.00 × Total received $100.00Amount received less than original cost 5 SELLING TREASURY STOCK FOR LESS THAN ORIGINAL COST

7. CENTURY 21 ACCOUNTING © Thomson/South-Western 7 LESSON 12-2 TERM REVIEW treasury stock page 354