When treasury stock is resold at a gain,the difference between its cost and the cash received when resold:

Question

Quizplus · Accepted Answer

When treasury stock is resold at a gain, the difference between its cost and the cash received when resold increases stockholders' equity. It does not affect net income because this transaction is simply a reclassification of equity accounts and does not involve any revenue or expenses.

When Treasury Stock Is Resold at a Gain,the Difference Between