The number of shares of stock outstanding is equal to:

Question

Quizplus · Accepted Answer

The number of shares outstanding is the total number of shares issued minus the number of shares of treasury stock, meaning that these shares have been bought back by the company and are no longer outstanding. The number of authorized shares does not factor into the calculation of outstanding shares. Similarly, the number of shares authorized plus the number of shares issued would include the shares of treasury stock, which is not representative of the actual number of shares owned by investors.

The Number of Shares of Stock Outstanding Is Equal To