Paid in Capital Archives - Best Business Communtiy

What do you mean by capital stock in business?

April 20, 2019 MickeAdditional Paid in Capital, Capital Increase, Capital Stock, Capital Stock Example, Capital Stock Formula, Common Stock Debit or Credit, Dividend Journal Entry, Dividends Debit or Credit, How to Calculate Capital Stock, Is Capital Stock an Asset, Is Retained Earnings an Asset, Paid in Capital, Purchase of Common Stock Journal Entry, Retained Earnings Formula, Share Capital, What Is Capital Stock0 comment

Get to know about Capital Stock and how it is use? A person acquires ownership in a corporation by purchasing some of its stock certificates. For example, if Unique Beach Towel Corporation has sold 100 shares of stock to various persons. Bed Linens Company has acquired 40 of these shares. Bed Linens Company has 40% ownership of Unique Beach Towel Corporation. When a corporation has accumulated a certain amount of profits funds are divided. It`s directors may choose to take some of funds generated by profits and to divide them…

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