Which of the Following Is TRUE About Reissuing Treasury Stock

Multiple Choice

Which of the following is TRUE about reissuing treasury stock?

A) If treasury stock is sold at a higher price than the stock's cost when the company reacquired it, a gain will be recognized.
B) If treasury stock is sold at a higher price than the stock's par value, a gain will be recognized.
C) If the treasury stock is sold at a lower price than the amount of the original issuance, a loss will be recognized.
D) A gain or loss on the reissuance of treasury stock is never recognized.