The two largest stock markets in the world are the ____ and the ___

When treasury stock is purchased for an amount greater than its par, what is the effect on total shareholders' equity?

fomenos

When treasury stock is purchased for an amount greater than its par then the total shareholders' equity decreases.

Given that the treasury stock is purchased for an amount greater than its par.

We are required to find the effect of the purchase of treasury stock for an amount greater than its par on the total shareholders' equity.

Treasury stock is basically known as treasury shares or reacquired stock, and refers to previously outstanding stock that is bought back from stockholders by the issuing company. The result of issuing treasury stock is that the total number of outstanding shares on the open market decreases. Shares of a company are a part of total shareholders' equity and because shares are issued for security, it will decrease the total shareholders;equity.

Hence when treasury stock is purchased for an amount greater than its par then the total shareholders' equity decreases.

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8 0

1 year ago

"For an investor seeking a tax sheltered investment, the primary advantage of a real estate direct participation program is the:

evablogger [386]

Answer:

ability of the program to generate losses for tax purposes but provide positive cash flow.

Explanation:

5 0

3 years ago

What did timothy do with the rope he made?

ss7ja [257]

Timothy stretched the rope between the hut and the beach for Philips to follow.

6 0

3 years ago

Read 2 more answers

Which of the following budgetary entries would the town of Geneva make upon adoption of its Special Revenue Fund Budget for the

babunello [35]

Answer:

b) Estimated Revenues Appropriations Budgetary Fund Balance $6,400,000 $6,080,000 320,000

Explanation:

Estimated Revenues $6,400,000 Dr

Appropriations $6,080,000 Cr

Budgetary Fund Balance $320,000 Cr

This entry is made on the adoption of Special Revenue Fund Budget for the year.

The special revenue fund is used for the special purposes such public maintenance etc.

The entry made on closing

Close out the budget at year end

Appropriations $ 6080,0000 Dr

Budgetary Fund Balance $ 320,000 Dr

Estimated Revenues $ 6400,000 Cr

4 0

3 years ago

Using Taylor's rule, when the equilibrium real federal funds rate is 2 percent, there is no output gap, the actual inflation rat

SCORPION-xisa [38]

Answer:

B) 1%

Explanation:

Taylor's rule formula is as follow:

Target rate = Neutral rate + 0.5 x (Expected GDP growth rate - Long-term GDP growth rate) + 0.5 x (Expected Inflation rate - Target inflation rate)

--> Target rate = 2% + 0.5 x (0) + 0.5 x (0 - 2%)

--> Target rate = 2% - 1% = 1%

Nominal federal funds rate should be 1%

7 0

3 years ago

The two largest stock markets in the world are the ____ and the ____.

The two largest stock markets in the world are the and the .