When the remaining 7

When the remaining 7 -...

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When the remaining 7,500 shares are sold, the entry to record the sale includes an increase (debit)  to cash for the proceeds received, a decrease (credit) to treasury stock for the repurchase price of  $25 per share or $187,500, and a decrease (debit) to additional paid-in-capital × treasury stock, if the  account has a balance, for the difference. If the difference between cash received and the cost of the  treasury stock is greater than the additional paid-in-capital—treasury stock account, retained  earnings is reduced (debited) for the remaining amount after the additional paid-in-capita—treasury  stock account balance is reduced to zero. If Soccer Trio Corporation sells the remaining 7,500 shares  of its treasury stock for $21, the entry to record the sale would be as shown:  General Journal Date Account Title and Description Ref. Debit Credit 20X1 June 25
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