When a company purchases and sells treasury shares for amounts above and below cost, it reports these "gains" and "losses" ________.

Name: When a company purchases and sells treasury shares for amounts above and below cost, it reports these "gains" and "losses" ________.
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Question

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Treasury stock transactions are not reported as gains or losses on the income statement. Instead, they are reflected in the equity section of the balance sheet, as they affect the additional paid-in capital or retained earnings.

When a Company Purchases and Sells Treasury Shares for Amounts