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Common stock

A certificate representing ownership interest in a corporation. Through voting rights, holders of common stock exercise control over corporate affairs through the selection of directors and certain policy decisions. They may be paid a Dividend, but only after interest obligations are met and the specified dividends due to holders of Preferred stock are paid. In the event of bankruptcy or liquidation, the common stockholders' interest in the company's assets is junior to all others.

Steven Huddart
Smeal College of Business, Penn State University, University Park, PA 16802-3603 USA
(814) 863-0048
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was last updated on Tue, Aug 21, 2018.
Today is Tue, Sep 29, 2020.

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