Free Version

Review Topics
Practice Exams
No one's got a neck quite as thick as Gaston...except for buffalo. Every last inch is covered in hair? We got that, too.

In the Mood to Share

In the Mood to Share

Shares: Outstanding, Authorized, Par, and Under Par

"So now we're loaded. We have $500 grand to burn. Awesome. The company Hy created had 1,000,000 shares outstanding at first, which he nominally set as being worth one penny each. The cofounders and I bought 333,333 shares for $3,333. That penny a share was the initial par value of the stock. It really doesn't mean anything for future investors, but there must be some value assigned to that stock when the company is formed. And you get a...

Looking for more? Why is this annoying box in the way? It's because you haven't paid for the course yet!

Next: Balance Sheet B.S.  
  Prev: The Facebook Deal: Equity Lowdown

*Securities is a registered trademark of the College Board, which was not involved in the production of, and does not endorse this product.