Fox co. issued 100,000 shares of common stock in the current year. on october 1, fox repurchased 20,000 shares of its common stock on the open market for $50.00 per share. at that date, the stock's par value was $1.00 and the average issue price was $40.00 per share. fox uses the cost method for treasury stock transactions. on december 1, fox reissued the stock for $60.00 per share. what account will be affected by the excess of the reissue price over the repurchase price?
a. $1
b. $0
c. $3
d. $7

Moody corporation uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. at the beginning of the year, the company made the following estimates: machine-hours required to support estimated production 100,000 fixed manufacturing overhead cost $ 650,000 variable manufacturing overhead cost per machine-hour $ 3.00 required: 1. compute the plantwide predetermined overhead rate. 2. during the year, job 400 was started and completed. the following information was available with respect to this job: direct materials $ 450 direct labor cost $ 210 machine-hours used 40