Gannon Company acquired 20,000 shares of its own common stock at $20 per share on...
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Gannon Company acquired 20,000 shares of its own common stock at $20 per share on February 5, 2020, and sold 10,000 of these shares at $27 per share on August 9, 2021. The fair value of Gannon's common stock was $24 per share on December 31, 2020, and $25 per share on December 31, 2021. The cost method is used to record treasury stock transactions. What account(s) should Gannon credit in 2021 to record the sale of 10,000 shares? a. Treasury Stock for $270,000 b. Treasury Stock for $200,000 and Paid-In Capital from Treasury Stock for $70,000 c. Treasury Stock for $200,000 and Retained Earnings for $70,000. d. Treasury Stock for $240,000 and Retained Earnings for $30,000.
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