Question

At the date of the financial statements, common stock shares issued would exceed common stock shares outstanding as a result of thea. declaration of a stock split.b. declaration of a stock dividend.c. purchase of treasury stock.d. payment in full of subscribed stock.

Answer 1

Answer:

c. purchase of treasury stock

Explanation:

The reason when the issued shares exceeded than the outstanding shares at the date of the financial statements is due to the purchase of treasury stock as the treasury stock reduced the outstanding number of shares.

The treasury stock is the stock in which the company again purchase its shares so due to the treasury stock purchase this condition occur