Yukon Corporation purchases 1,000 shares of its own stock from Jones at a price of $50 a share. These shares, which are now issued but not outstanding, are known as:

Question

Quizplus · Accepted Answer

When a corporation buys back its own shares, those shares are referred to as treasury shares. They are considered issued because they were once part of the shares sold to investors, but they are not outstanding because they are not currently held by external investors.

Yukon Corporation Purchases 1,000 Shares of Its Own Stock from Jones