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Key Term

Definition

Stock certificate

Preemptive right

Authorized stock

Preferred stock $$

Paid$-$in capital $$

More info

$q,$

The maximum number of shares of stock that the corporate charter allows the

a$.$ corporation to issue.

b$.$ Stock that gives its owners certain advantages over common stockholders.

c$.$ Stockholders' right to maintain their proportionate ownership in the corporation. Represents amounts received from stockholders of a corporation in exchange

d$.$ for stock.

e$.$ Paper evidence of ownership in a corporation.