Asked by Jeremy brister on Jun 14, 2024
Verified
The total number of shares outstanding is always equal to the number of shares authorized.
Shares Outstanding
The total number of a company's shares of stock that are owned by shareholders, including those held by institutional investors and restricted shares.
Shares Authorized
The maximum number of shares that a corporation is legally permitted to issue, as specified in its articles of incorporation.
- Acquire knowledge on the essential features and principles pertaining to stocks within companies.
Verified Answer
TZ
Tianxiang ZhengJun 16, 2024
Final Answer :
False
Explanation :
The number of shares authorized is the maximum number of shares that a company is allowed to issue, but the total number of shares outstanding may be less than the authorized amount if some shares have been repurchased or retired by the company.
Learning Objectives
- Acquire knowledge on the essential features and principles pertaining to stocks within companies.