Shares Flashcards
1
Q
Authorized shares
A
Those described in the articles of incorporation
2
Q
Issued and Outstanding Shares
A
Shares that have been sold
3
Q
Treasury shares
A
shares that have been reacquired by the corp. through repurchase or redemption are authorized but unissued
4
Q
Share options
A
Right to purchase shares in the future under terms predetermined by board
5
Q
Preincorporation stock subscription
A
Promises to buy stock in the corporation
Irrevocable for six months unless otherwise provided or all subscribers consent to revocation
Payment upon demand by the board; subscriber who fails to pay may be penalized or forfeit at corporation’s option
6
Q
Consideration for stock
A
RMBCA: any tangible or intangible property or benefit to the corp.
older statutes only allowed monetary value
