Which Statement Is Correct About the "Single Transaction Method" for Treasury

question 32

Multiple Choice

Which statement is correct about the "single transaction method" for treasury shares?

• A)This method has the same effect on contributed surplus to that of the two transaction method.
• B)This method uses a separate "treasury shares" account upon re-purchase.
• C)This method treats the reacquisition and subsequent sale separately for accounting.
• D)This method decreases contributed surplus at the time of re-purchase.

---

Definitions:

Focus

The concentration of attention or energy on something specific, enhancing clarity and effectiveness in thinking or action.

Humanistic Perspective

A psychological approach emphasizing individual potential, self-awareness, and the importance of personal growth and understanding.

Self-fulfillment

The achievement of one's own potential or desires, resulting in personal satisfaction and happiness.

Self-awareness

An individual's recognition of their own personality, feelings, intentions, and longings.