No gains or losses are ever recorded by a company when they sell or issue their own shares.

Name: No gains or losses are ever recorded by a company when they sell or issue their own shares.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

When a company sells or issues its own shares, it is not recording a transaction with an external party. The company is simply transferring ownership of the shares from one shareholder to another. As a result, there is no gain or loss to the company.

No Gains or Losses Are Ever Recorded by a Company