Reading...
Play button
Play button
Use LEFT and RIGHT arrow keys to navigate between flashcards;
Use UP and DOWN arrow keys to flip the card;
H to show hint;
A reads text to speech;
18 Cards in this Set
- Front
- Back
|
Authorized Shares
|
The maximum number of shares a corporation may issue as indicated in the corporate charter. (page 529)
|
|
|
Issued shares
|
The number of shares sold or distributed to stockholders.
|
|
|
Outstanding Shares
|
The number of shares issued less the number of shares held as treasury stock.
|
|
|
Par Value
|
An arbitrary amount that represents the legal capital of the firm.
|
|
|
Additional Paid-in Capital
|
The amount received for the issuance of stock in excess of the par value of the stock.
|
|
|
Retained Earnings
|
Net income that has been made by the corporation but not paid out as dividends.
|
|
|
Callable Feature
|
Allows the firm to eliminate a class of stock by paying the stockholders a specified amount.
|
|
|
Convertible Feature
|
Allows preferred stock to be exchanged for common stock.
|
|
|
Cumulative Feature
|
The right to dividends in arrears before the current-year dividend is distributed.
|
|
|
Participating Feature
|
Allows preferred stockholders to share on a percentage basis in the distribution of an abnormally large dividend.
|
|
|
Treasury Stock
|
Stock issued by the firm and then repurchased but not retired.
|
|
|
Dividend payout ratio
|
The annual dividend amount / annual net income.
|
|
|
Retirement of Stock
|
When the stock is repurchased with no intention to reissue at a later date.
|
|
|
Stock Dividend
|
The issuance of additional shares of stock to existing stockholders.
|
|
|
Stock Split
|
The creation of additional shares of stock with a reduction of the par value of the stock.
|
|
|
Statement of Stockholders' Equity
|
Reflects the differences between beginning and ending balances for all accounts in the Stockholders' Equity category of the balance sheet.
|
|
|
Book value per share
|
Total stockholders equity / # of shares of common stock outstanding.
|
|
|
Market value per Share
|
The selling price of the stock as indicated by the most recent transactions.
|
