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Bookkeeping

Stockholders Equity: Understanding your Company’s Net Worth

For example, if a corporation has 100,000 shares outstanding, a 2-for-1 stock split will result what are the primary components of stockholders’ equity? in 200,000 shares outstanding. Capital stock is a term that encompasses both common stock and preferred stock. Paid-in capital (or contributed capital) is that section of stockholders’…
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