shares of its outstanding stock for $ 12 per share. The acquisition of these treasury shares
a. decreased total stockholders ' equity. b. increased total stockholders ' equity. c. did not change total stockholders ' equity. d. decreased the number of issued shares. P37.
Treasury shares are a. shares held as an investment by the treasurer of the corporation. b. shares held as an investment of the corporation. c. issued and outstanding shares. d. issued but not outstanding shares.
38. When treasury stock is purchased for more than the par value of the stock and the cost method is used to account for treasury stock, what account( s) should be debited?
a. Treasury stock for the par value and paid-in capital in excess of par for the excess of the purchase price over the par value.
b. Paid-in capital in excess of par for the purchase price. c. Treasury stock for the purchase price.
d. Treasury stock for the par value and retained earnings for the excess of the purchase price over the par value.