Which of the following usually represents the largest number of common shares?
A)restricted shares.
B)issued shares.
C)treasury shares.
D)authorized shares.

Question

Quizplus · Accepted Answer

Authorized shares typically represent the largest number of common shares because they indicate the total number of shares a corporation is legally allowed to issue, as specified in its articles of incorporation. This number is usually larger than the number of shares actually issued to investors (issued shares) and much larger than the subsets of those, such as restricted shares (which are subject to certain conditions) and treasury shares (which are issued shares that have been bought back by the corporation).

Which of the Following Usually Represents the Largest Number of Common