Under the Cost Method of Accounting for Treasury Stock Transactions

question 2

Multiple Choice

Under the cost method of accounting for treasury stock transactions, when the proceeds from a sale are greater than the cost, the excess over cost is treated as a(n)

• A) increase in Other Expenses from Treasury Stock Sales
• B) increase in Additional Paid-in Capital from Treasury Stock
• C) increase in a contra-stockholders' equity account
• D) None of these choices

---

Definitions:

Self-Esteem

The perception of one's own value or worth, which can impact behavior, motivation, and emotional well-being.

Human Relations

The study and management of how individuals interact and communicate within groups, especially in a workplace setting.

Total Quality Management

A comprehensive management approach focused on continuous quality improvement, customer satisfaction, and involving all organizational members.

TQM

Total Quality Management, a continuous effort by management to improve the quality of products and services through feedback and refinements.