Which of the Following Statements About Treasury Stock Transactions Is

Multiple Choice

Which of the following statements about treasury stock transactions is correct?

A) The total number of shares issued increases when treasury stock is purchased.
B) The total number of shares authorized changes when treasury stock is purchased.
C) Gains and losses on treasury stock transactions are reported on the income statement.
D) A stockholders' equity account is debited when treasury stock is purchaseD.Treasury stock is a contra-equity account with a debit balance.