The stockholders' equity section of Twilight Time's balance sheet on January 1, 2015, appeared as follows:
| Common stock, $2 par, 2,000 shares issued and outstanding |
$4,000 |
| Additional paid-in capital - Common |
1,600 |
| Retained earnings |
5,400 |
| Total stockholders' equity |
$11,000 |
On March 1, 2015, Twilight reacquired 800 shares of common stock at $10 per share. Twilight sold 400 of the treasury shares on November 15 for $12 per share. The transaction for the November 15 sale would include:
a. an increase in Gain on Sale of Treasury Stock, $800.
b. a decrease in Treasury Stock, $4,000.
c. a decrease in Cash, $4,800.
d. an increase in Common Stock, $4,800.