Asked by
Emilee Garner
on Nov 18, 2024Verified
How is treasury stock shown on the balance sheet?
A) as an asset
B) as a decrease in stockholders' equity
C) as an increase in stockholders' equity
D) treasury stock is not shown on the balance sheet
Treasury Stock
Shares that were once available for sale and have been bought back by the issuing company; these shares do not pay dividends or have voting rights.
Balance Sheet
A financial statement that showcases an organization's assets, liabilities, and shareholders' equity at a specific point in time.
Stockholders' Equity
The total value of a company's assets minus its liabilities, representing the ownership interest of its shareholders.
- Determine the influence of treasury stock transactions on the equity of shareholders.
Verified Answer
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Learning Objectives
- Determine the influence of treasury stock transactions on the equity of shareholders.