Will the number of shares of stock issued and the number of shares of stock outstanding always be the same? Why or why not?
What will be an ideal response?
The number of shares of stock issued and the number of shares of stock outstanding will not always be the same. Authorized stock that has been sold to the public is called issued stock. Outstanding stock (or total issued stock minus treasury stock) is stock owned by investors outside the corporation. The number of shares of stock outstanding will be less than the number issued if a corporation has purchased its own stock as treasury stock.
You might also like to view...
Which of the following will be useful in ascertaining whether a doctor is legitimate?
a. Department of Business Regulation b. Secretary of State c. State Medical Registry d. County Clerk
By delaying entry, late movers:
A. can learn from the actions of first movers without incurring the same costs. B. can avoid high entry barriers. C. secure the window of opportunity. D. have less information about market demand.
Which of the following statements concerning a personal articles floater is false?
A) A personal articles floater covers both scheduled and unscheduled property. B) Personal articles floaters typically cover all risks with no deductible. C) Personal articles floaters extend the dollar coverage on personal property beyond the limits set in the basic policy. D) A personal articles floater may take the form of either a separate policy or an endorsement to the original policy.
The term restricted retained earnings refers to statutory but not contractual restrictions.
Answer the following statement true (T) or false (F)