Question

QUESTION 5 Not complete Marked out of 1.00 P Flag question Examining the Effect of Stock Transactions Year 1: Noreen Company issues 10,000 shares of its no-par common stock for $30/share in cash. Year 2: Noreen Company buys 1,000 shares of its no-par common stock for $28/share in cash. Year 3: Noreen Company declares but has not yet paid a dividend on its no-par common stock of $2 per share. The company's basic earnings per share were $10 in the third year Indicate the effect (increase, decrease, no effect) of each of these stock decisions for each year on the items listed Total Stockholders Equity Total Assets Total Liabilities Year EPS Operating Income

Answer 1

Year	Total assets	Total liabilities	Total Stockholders’ equity	EPS	Operating income
1	Increase	No effect	Increase	Decrease	No effect
2	Decrease	No effect	Decrease	Increase	No effect
3	No effect	Increase	Decrease	No effect	No effect