Common Stock

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Common Stock

 

shares of stock that convey the right to receive income in the form of dividends. Dividends vary with the amount of profit a stock company has earned. There is also preferred stock, which generates income according to a preset fixed percentage that does not vary with any increase or decrease in profits. The big capitalists who establish joint-stock companies usually retain the preferred stock and sell the common stock to the ordinary stockholders.

References in periodicals archive ?
In previous cases, the Tax Court had simply increased the price per voting share by a premium percentage (the simple method).
The Board has carefully considered the comments in light of all the facts of record, including supervisory reports of examination assessing the financial and managerial strength of the institutions involved, accounting adjustments that Commenter alleges would be required in connection with the proposal, and confidential financial information provided by First Mariner regarding the source of funding for purchasing the voting shares of Glen Burnie.