Capital Stock
The common and preferred stock a company is authorized to issue, according to their corporate charter. Investopedia Says:
Capital stock are normally listed on a company's balance sheet.
In financial statement analysis, an increasing capital stock account tends to be a sign of economic health since the company can use the additional proceeds to invest in projects or machinery that will increase corporate profits and/or efficiency. Related Terms:
Balance Sheet
Common Stock
Outstanding Shares
Preferred Stock |