Refurbish,Inc

question 106

Multiple Choice

Refurbish,Inc.purchased 1,000 shares of its own stock at $8 a share.Later,it reissued the 1,000 shares for $10,000.The effect of the entry to record the sale of treasury stock on the accounting equation includes a(n) :

• A) $10,000 increase in stockholders' equity.
• B) $10,000 decrease in stockholders' equity.
• C) $8,000 increase in stockholders' equity.
• D) $8,000 decrease in stockholders' equity.