When we reissue treasury stock,we report the difference between its cost and the cash received as an increase/decrease in additional paid-in capital.

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When treasury stock is reissued, the difference between its cost and the cash received is reported as an increase in additional paid-in capital. This is because treasury stock is initially issued and then repurchased, so any subsequent reissuance is considered an increase in the company's outstanding shares and therefore an increase in the amount of paid-in capital contributed by shareholders.

When We Reissue Treasury Stock,we Report the Difference Between Its