A Corporation Purchases 30,000 Shares of Its Own $15 Par

question 62

Multiple Choice

A corporation purchases 30,000 shares of its own $15 par common stock for $30 per share, recording it at cost. What will be the effect on total stockholders' equity?

• A) Increase by $450,000
• B) Decrease by $900,000
• C) Increase by $900,000
• D) Decrease by $450,000

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LAN

Stands for Local Area Network, a computer network that interconnects computers within a limited area such as a residence, school, laboratory, or office building.

WAN

Wide Area Network, a telecommunications network that extends over a large geographic area for the purpose of computer networking.

Fiber-Optic

Referring to the technology of transmitting light through thin, flexible fibers of glass or plastic for telecommunications or lighting.

Dial-Up

A form of internet access that connects users to the internet through a telephone line.