When Treasury Stock Accounted for by the Single-Transaction Method Is

question 21

Multiple Choice

When treasury stock accounted for by the single-transaction method is subsequently sold for more than its purchase price, the excess of the cash proceeds over the carrying value of the treasury stock should be recognized as:

• A)Income from continuing operations.
• B)an unusual gain.
• C)Increase in retained earnings.
• D)Increase in contributed capital.

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Definitions:

Performance Evaluation

A systematic process to review and assess an employee's job performance over a specific period, including achievements and areas for improvement.

Accomplishments

Achievements or completed tasks that are often recognized as a measure of success or proficiency in a particular field or activity.

Extra Hours

Additional time worked beyond the regular scheduled working hours, often eligible for overtime compensation.

Employment Manual

A handbook provided by an employer to its employees containing company policies, procedures, and guidelines.