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authorized capital stock

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authorized capital stock
The number of shares of capital stock that a business may issue. Authorized capital stock is stated in a firm's articles of incorporation; changes in it may occur only if approved by the stockholders. The number of shares authorized often greatly exceeds the number actually issued. In this way, management can issue more shares to raise additional funds, or it can use the shares to make an acquisition. Also called shares authorized.


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Authorized capital stock is stated in a firm's articles of incorporation; changes in it may occur only if approved by the stockholders.
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Authorized capital stock is stated in a firm's articles of incorporation; changes in it may occur only if approved by the stockholders.
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Authorized capital stock is stated in a firm's articles of incorporation; changes in it may occur only if approved by the stockholders.
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