The number of shares outstanding equals the number of shares ________.
A)authorized minus the number of shares issued
B)issued minus the number of shares authorized
C)issued minus the number of shares of treasury stock
D)of treasury stock minus the number of shares issued

Question

Quizplus · Accepted Answer

The number of shares outstanding equals the number of shares issued minus the number of shares of treasury stock. This is because shares of treasury stock are shares that were issued but have since been repurchased by the company and are no longer outstanding. Therefore, they cannot be included in the calculation of outstanding shares.

The Number of Shares Outstanding Equals the Number of Shares