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24 Cards in this Set
- Front
- Back
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How corporations raise money.
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Capitalization
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Equity financing is done through.
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Stocks
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Debt financing is done through.
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Bonds
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Is a corporation required to pay dividends or repay principal?
Who decides dividends? |
No
The board of directors. |
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The specific number of shares, aothorized in a corporate charter, to be sold.
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Authorized shares
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Authorized stock that has not yet been sold sold to investors.
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Issued shares
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How corporations raise money.
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capitalization
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equity financing.
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Stocks
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debt financing
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bond
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specific number of shares authorized in the corporate charter to be sold.
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Authorized Shares
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Authorized stock that has been sold to investors.
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Issued shares
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Authorized stock that has not yet been sold.
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Unissued Shares
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Issued shares currently in the hands of the public.
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Outstanding stock
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Stock which was sold to the public but has been reacquired by the corporation.
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Treasury Stock
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- Limit access to corp. books.
- Final clam (residual) on assets at bankrutcy. - Dividends if declared. - Voting privileges - Premptive Rights. These all decribe what? |
Rights
of the common stock holder. |
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Two types of voting privileges.
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Regular (statutory)
must split votes evenly Cumulative(benefit sm investors) may cast votes in any manner |
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Rights to maintain proportionate ownership by buying shares of a mew issue of common stock before the public at a discount.
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Preemptive Rights
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*Prior claim to dividends and assets upon bankruptcy.
*Fixed dividend *Optional features |
Preferred Stock
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Preferred Stock Option that:
Allows dividends to accrue from years skipped. |
Cumulative
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Preferred Stock option that converts into fixed number of shares of common stock
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Convertible
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Preferred Stock option that allows the corporation to retire the stock.
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Callable
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Preferred Stock Option that may pay extra dividend.
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Participating
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A vehicle for trading foreign stock in the U.S.
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American Depositary Reciept
(ADR) |
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*Responsible for keeping names of holders of record and for handling rights and warrants and making final decision on good delivery (Stock Power)
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Transfer Agent
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