The following data were presented for WENG company on Jan. 1, 2018: Ordinary share, par value 20, authorized 400,000 shares issued and outstanding, 240,000 shares Share premium Retained Earnings 4,800,000 960,000 3,080,000 The company uses the cost method of accounting for treasury shares and the following transactions took place: The entity acquired 4,000 shares of its shares for 140,000; sold 2,400 treasury shares at 40 per share, then retired the remaining treasury shares. What is the amount of the retained earnings after the retirement of treasury shares?

The following data were presented for WENG company on Jan. 1, 2018: Ordinary share, par value 20, authorized 400,000 shares issued and outstanding, 240,000 shares Share premium Retained Earnings 4,800,000 960,000 3,080,000 The company uses the cost method of accounting for treasury shares and the following transactions took place: The entity acquired 4,000 shares of its shares for 140,000; sold 2,400 treasury shares at 40 per share, then retired the remaining treasury shares. What is the amount of the retained earnings after the retirement of treasury shares?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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