Exercise 11-10 recording and reporting treasury stock transactions lo p3 on october 10, the stockholders’ equity of sherman systems appears as follows. common stock–$10 par value, 84,000 shares authorized, issued, and outstanding $ 840,000 paid-in capital in excess of par value, common stock 276,000 retained earnings 960,000 total stockholders’ equity $ 2,076,000 1. prepare journal entries to record the following transactions for sherman systems. purchased 6,200 shares of its own common stock at $37 per share on october 11. sold 1,300 treasury shares on november 1 for $43 cash per share. sold all remaining treasury shares on november 25 for $32 cash per share.

Dan mcclure is trying to decide on how many copies of a book to purchase at the start of the upcoming selling season for his bookstore. the book retails at $28.00. the publisher sells the book to dan for $20.00. dan will dispose of all the unsold copies of the book at 75 percent off the retail price, at the end of the season. dan estimates that demand for this book during the season is normal with a mean of 100 and a standard deviation of 42. a. how many books should dan order to maximize his expected profit? b. given the order quantity in part a, what is dan's expected profit? c. the publisher's variable cost per book is $7.50. given the order quantity in part a, what is the publisher's expected profit?