When a firm purchases its own stock, and retires it (at more than the stock sold for), which entry would be recorded? Cash decreases, and Treasury Stock increases. Cash decreases, and Treasury Stock decreases. Cash decreases, Common Stock decreases, and Additional Paid-in-Capital decreases. Cash decreases, Common Stock decreases, Additional Paid-in-Capital decreases, and Retained Earnings decreases Cash decreases, Common Stock decreases, Additional Paid-in-Capital decreases, and Retained Earnings increases