What Would Be the Impact on the Accounting Equation When

question 6

Multiple Choice

What would be the impact on the accounting equation when a company purchases treasury stock?

• A) Increase assets and increase stockholders' equity.
• B) Decrease assets and increase stockholders' equity.
• C) Decrease assets and decrease stockholders' equity.
• D) No effect on the accounting equation.

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Definitions:

Operant Behaviors

Actions or behaviors that are influenced by their consequences, such as rewards or punishments.

Respondent Behaviors

Actions that are automatic responses to stimuli, typically reflexive and not under conscious control.

Unconditioned Responses

Automatic, natural reactions to a stimulus that occur without any prior learning or conditioning.

Respondent Behavior

Behavior that is elicited by a prior stimulus without the need for learning, typically reflecting reflexive or involuntary responses.