Which of the following represents the total number of shares that a corporation may issue under the terms of its charter?
A) Authorized shares
B) Issued shares
C) Unissued shares
D) Outstanding shares

Question

Quizplus · Accepted Answer

Authorized shares represent the total number of shares that a corporation may issue under the terms of its charter. It includes both issued shares (shares that have been sold to shareholders) and unissued shares (shares that have not yet been sold). Outstanding shares represent the number of shares that are currently held by shareholders.

Which of the Following Represents the Total Number of Shares