Ch.13 Equity Financing

Ch.13 Equity Financing - Equity Financing Chapter 11 Click...

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Click to edit Master subtitle style 12/26/10 Equity Financing Chapter 11
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12/26/10 Debt vs. Equity Debt Company is obligated to repay the principal, even during bad times, typically with interest Lender does not share in the success of the company Equity Company is not obligated to repay the
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12/26/10 Corporate Capital Common Stock § A class of stock that typically has the following rights for shareholders attributed to it: Voting rights Residual liquidation rights Right to receive dividends (if paid) Preemptive stock rights Preferred Stock § A class of stock that typically has the following rights for shareholders attributed
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12/26/10 Accounting for Stock Issuance Terms: Par Value Nominal value assigned to and printed on the face of each share of a corporation’s stock Irrelevant to actual value of the stock (essentially made up) Contributed Capital Amounts invested by stockholders Common and Preferred stock
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12/26/10 Issuance of Stock ABC Inc. issued 5,000 shares of no-par common stock at $25 per share for cash. Cash
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This note was uploaded on 12/26/2010 for the course MGQ 201 taught by Professor Orrange during the Fall '09 term at SUNY Buffalo.

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Ch.13 Equity Financing - Equity Financing Chapter 11 Click...

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