Gift amounts over $11,000 are exempt from federal tax.

In Year 1, Stock to the Hand, Inc., issued 40,000 shares of the 800,000 shares of $0.40 par value common stock it is allowed to sell. The total received from issuing its common stock is $400,000. Stock to the Hand bought back 4,000 shares of its stock at a cost of $14 each. On December 31, the last day of Year 1, Stock to the Hand declared and paid a $0.80 per share dividend to its common shareholders. Stock to the Hand has no preferred stock. Treasury Stock on the balance sheet at December 31, Year 1, equals ______.

a. -56000 b. -55000 c. 54000 d. 60000

A marketing security is a__________________

a. Demand deposit b. Cash equivalent c. Short term debt d. Commercial paper