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19 August, 18:29

During the year, the following selected transactions affecting stockholders' equity occurred for Navajo Corporation: a. Feb. 1 Repurchased 250 shares of the company's own common stock at $21 cash per share. b. Jul. 15 Sold 120 of the shares purchased on February 1 for $22 cash per share. c. Sept. 1 Sold 90 of the shares purchased on February 1 for $20 cash per share.

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  1. 19 August, 21:03
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    equity at end = (810)

    Explanation:

    Feb-1-Entry of repurchase shares:

    Dr Share capital (250 * 210) 5250

    Cr cash 5250.

    July-15-Entry of shares sold:

    Dr Cash (120 * 22) 2640

    Cr Share capital 2640

    Sept-1 Entry of shares sold:

    Dr Cash (90*20) 1800

    Cr Share capital 1800.

    Changes in equity:

    = (5250) + 2640+1800 = (810) at end
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