Asked by
Ramandeep Kaur Bhullar
on Nov 13, 2024Verified
The state charter allows a corporation to issue only a certain number of shares of each class of stock. This amount of stock is called
A) treasury stock
B) issued stock
C) outstanding stock
D) authorized stock
State Charter
A legal document issued by a state that grants rights, privileges, and operating terms to a corporation.
Authorized Stock
This refers to the maximum number of shares that a corporation is legally permitted to issue, as specified in its articles of incorporation.
Treasury Stock
Shares that were issued and later reacquired by the issuing company, reducing the amount of stock in the market.
- Explore the process and effects of public stock offerings and comprehend the theory of par value.
Verified Answer
NH
Learning Objectives
- Explore the process and effects of public stock offerings and comprehend the theory of par value.