Treasury stock is
A) canceled as soon as it is acquired.
B) a current asset.
C) the same as unissued stock.
D) included in issued shares.

Question

Quizplus · Accepted Answer

Treasury stock refers to shares that were issued and subsequently reacquired by the company. It is not canceled upon acquisition, does not classify as a current asset, and is distinct from unissued stock, which has never been sold to the public or issued by the company. Treasury stock is considered a part of the total issued shares but is not counted as outstanding shares since it does not have voting rights or receive dividends.

Treasury Stock Is