Treasury shares may be reissued as dividends, in which case what amount should be charged to retained earnings? Cost of the treasury shares Par value of the treasury shares Fair value of the treasury shares on the date of declaration Fair value of the treasury shares on the date of issuance The use of equity reserves under international accounting standards is strictly voluntary on the pat of the management of an entity. is based on whether a reserve is part of distributable or non distributable equity. is primarily for the benefit of shareholders rather than creditors. results in the elimination of retained O earnings from the total shareholders' equity