What Effect Does the Purchase of Treasury Stock Have on the Balance

Multiple Choice

What effect does the purchase of treasury stock have on the balance sheet? $\begin{array}{|l|l|l|l|}\hline & \text { Total Assets } & \text { Total Liabilities } & \text { Stockholder'sEquity } \\\hline \text { A) } & \text { No effect } & \text { No effect } & \text { No effect }\\\hline\end{array}$ $$\begin{array} { | l | l | l | l | } \hline & \text { Tatal Assets } & \text { Tatal Liabilities } & \text { Stackhalder's Equity } \\\hline \text { B) } & \text { Decrease } & \text { No effect } & \text { Decrease } \\\hline\end{array}$$ $\begin{array}{|l|l|l|l|}\hline & \text { Total Assets } & \text { Total Liabilities } & \text { Stockholder'sEquity } \\\hline \text { C) } & \text { Increase } & \text { No effect } & \text { Increase }\\\hline \end{array}$ $\begin{array}{|l|l|l|l|}\hline & \text { Total Assets } & \text { Total Liabilities } & \text { Stockholder'sEquity } \\\hline \text { D) } & \text { Decrease } & \text { Decrease } & \text { Increase }\\\hline\end{array}$

A) Option A
B) Option B
C) Option C
D) Option D