On January 1, 2018, Stamford reacquires 8,000 of the outstanding shares of its own common stock for

Question:

On January 1, 2018, Stamford reacquires 8,000 of the outstanding shares of its own for $24 per share. None of these shares belonged to Neill. How does this transaction affect the parent company's Additional Paid-In Capital account?
a. Has no effect on it.
b. Decreases it by $55,000.
c. Decreases it by $35,000.
d. Decreases it by $28,000.
Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on...