Under GAAP, a Purchase by a Company of Its Own

question 322

Multiple Choice

Under GAAP, a purchase by a company of its own shares is recorded by

• A) a decrease in accumulated comprehensive income.
• B) a decrease in retained earnings.
• C) an increase in Treasury Stock.
• D) All of these answer choices are correct.

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Definitions:

Primary Sex Characteristics

Are the physical features that are present at birth and are directly involved in human reproduction.

Conception

The moment when a sperm fertilizes an egg, leading to the beginning of pregnancy.

Sex Hormones

Chemical substances produced by the gonads (ovaries and testes) that regulate many aspects of sexuality and reproduction as well as secondary sexual characteristics.

Puberty

The developmental stage during which children mature sexually and physically into young adults.