Please Refer to the Following Information for Peartree Company

question 48

True/False

Please refer to the following information for Peartree Company:
• Common stock, $1.00 par, 100,000 issued, 95,000 outstanding
• Paid-in capital in excess of par: $2,150,000
• Retained earnings: $910,000
• Treasury stock: 5,000 shares purchased at $20 per share
-
If Peartree resold 1,000 shares of treasury stock for $24 per share, the company would record a gain on sale of treasury stock for $4,000.

---

Definitions:

Posttraumatic Stress Disorder

A psychiatric disorder that can occur in people who have experienced or witnessed a traumatic event, characterized by flashbacks, severe anxiety, and uncontrollable thoughts about the event.

Competent to Stand Trial

A legal determination that a defendant has the mental capacity to understand the nature and objective of the legal proceedings and can adequately participate in their defense.

Incompetency to Stand Trial

Refers to a legal determination that an individual lacks the mental capacity to understand the charges against them or to participate in their own defense.

Insanity

A legal term referring to a defendant's inability to understand the wrongfulness of their actions or distinguish right from wrong at the time of a crime.