Ayayai Corporation had the following stockholders' equity accounts on January 1, 2020: Common Stock($4 par) $400,000, Paid-in Capital in Excess of Par - Common Stock $175,000, and Retained Earnings $100,000. In 2020, the company had the following treasury stock transactions. Mar.1: Purchased 5,500 shares at $8 per share
June.1 : Sold 1,000 shares at $12 per share
Sept. 1: Sold 1,000 shares at $10 per share
Dec.1: Sold $1,000 shares at $6 per share
Ayayai Corporation uses the cost method of accounting for treasury stock. In 2020, the company reported net income of $25,000.
1) Journalize the treasury stock transactions, and prepare the closing entry at December 31, 2020, for net income.
2) Prepare the stockholders' equity section for Ayayai Corporation at December 31, 2020.

This problem has been solved! see the answercompute and interpret altman's z-scoresfollowing is selected financial information for ebay, for its fiscal years 2005 and 2006.(in millions, except per share data) 2006 2005current assets $ 4,970.59 $ 3,183.24current liabilities 2,518.39 1,484.93total assets 13,494.01 11,788.99total liabilities 2,589.38 1,741.00shares outstanding 1,368.51 1,404.18retained earnings 4,538.35 2,819.64stock price per share 30.07 43.22sales 5,969.74 4,552.40earnings before interest and taxes 1,439.77 1,445.18compute and interpret altman z-scores for the company for both years. (do not round until your final answer; then round your answers to two decimal places.)2006 z-score = answer2005 z-score = answerwhich of the following best describes the company's likelihood to go bankrupt given the z-score in 2006 compared to 2007.the z-score in 2006 is half of the 2005 score. both z-scores are well above the score that represents a healthy company.the z-score in 2006 is double the 2005 score. the z-score has increased sharply, which suggests the company has greatly increased the risk of bankruptcy.the z-score in 2006 is half of the 2005 score. the z-score has decreased sharply, which suggests the company is in financial distress.the z-score in 2006 is double the 2005 score. the z-score has increased sharply, which suggests the company has greatly lowered the risk of bankruptcy.