Answer:
decrease of 32,000 dollars
Explanation:
the treasury sotck are recorded at cost:
4,000 shares x $8 per share = $32,000
the treasury stock is a contra.equity account that decreases the total stockholders' equity
As this shares are no longer outstading they are held by the firm thus, the capital fund of the firm are lower.
Also notice asset decrease as well because we use cash to acquire them.
