ECONOMICS

Detailed explanation-1: -When a corporation has only one class of stock, the stock is called: Common Stock. The total amount of cash and other assets received by a corporation from its stockholders in exchange for its stock is: Referred to as paid-in capital.

Detailed explanation-2: -“Common shares” is the legal term that typically refers to the corporation’s class of shares that holds the minimum rights described above (right to vote, right to receive dividends, right to residual value of the corporation’s assets upon the corporation’s liquidation).

Detailed explanation-3: -The articles can allow for one or more classes of shares. There is no limit on the number of classes of shares that can be set out in the articles. If there is more than one class, the rights, privileges, restrictions and conditions for each class must also be indicated in the articles.

Detailed explanation-4: -Share. The term “share capital” refers to the amount of money the owners of a company have invested in the business as represented by common and/or preferred shares.