Which of the following statements is true regarding a defined benefit plan?

a. The employee's annual pension is based on a formula, which includes such factors as the employee's years of service, age, and past salary.

b. The pension expense associated with the defined benefit plan has the effect of increasing the earnings per share profitability metric.

c. The most popular defined benefit plan is the 401k plan.

d. The employee is responsible to contribute to the fund through payroll deductions.

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The sale of treasury stock at a higher price increases _____ and decreases _____.

a. Cash and Paid-In Capital from Sale of Treasury Stock; Treasury Stock

b. Cash; Common Stock

c. Treasury Stock; Cash and Common Stock

d. Cash and Paid-In Capital in Excess of Par; Treasury Stock

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Which of the following is reported as a long-term liability on the balance sheet?

a. Common stock

b. Bonds payable

c. Dividends payable

d. Cash