Gains on the sales of treasury stock

8) “Gains” on sales of treasury stock (using the cost method) should be credited to

A. paid-in capital from treasury stock
B. other income
C. capital stock
D. retained earnings

9) How should a “gain” from the sale of treasury stock be reflected when using the cost method of recording treasury stock transactions?

A. As on the income statement
B. As an on the income statement
C. As paid-in capital from treasury stock transactions
D. As an increase in the amount shown for common stock