Examlex
Which of the following is correct?
Retirement of Shares
The process by which a company buys back its own shares from the marketplace, reducing the amount of outstanding shares.
Stockholders' Equity
The residual interest in the assets of a corporation that remains after deducting its liabilities; represents ownership equity in a firm.
Par Preferred Stock
A type of preferred stock that has a specified face value (par value) which determines the dividend calculation and has priority over common stock in dividend payments and upon liquidation.
Par Common Stock
The nominal or face value assigned to a share of common stock, as declared in the corporate charter, which has little bearing on the market value of the share.
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