Swifty Corporation purchased from its stockholders 5,500 shares of its own previously issued stock for $275,000. It later resold 1,700 shares for $53 per share, then 1,700 more shares for $48 per share, and finally 2,100 shares for $42 per share. Prepare journal entries for the purchase of the treasury stock and the three sales of treasury stock.

The answer is given below

Explanation:

A journal is a book that is used in accounting to record the transactions that takes place in a company.

It should be noted that in the attached file, the amount that was paid in capital from the treasury stock was calculated as:

= 5,100 - 3,400

= 1,700

The retained earnings was also calculated as:

= 105,000 - 88,200 - 1,700

= 15,100

Check the attached file for further information.