Required information
Problem Static Treasury stock transactions LO
The following information applies to the questions displayed below.
On January Metco Incorporated reported shares of $ par value common stock as being issued and
outstanding. On March Metco Incorporated purchased for its treasury shares of its common stock at a
price of $ per share. On August of these treasury shares were sold for $ per share. Metco's directors
declared cash dividends of $ per share during the second quarter and again during the fourth quarter, payable on
June and December respectively. A stock dividend was issued at the end of the year. There were
no other transactions affecting common stock during the year.
Problem Static Part c Horizontal Model
c Use the horizontal model for the sale of the treasury stock on August Indicate the financial statement effect.
Note: Enter decreases with a minus sign to indicate a negative financial statement effect.
