Froogle | Glossary | 'Common Stock'

a security representing an ownership interest in a corporation. Ownership may also be shared with preferred stock (which has prior claim on any dividends to be paid, and – in the event of liquidation – prior claim to the distribution of the corporation’s assets). As owners of the corporation, common stock holders (aka shareholders):

(a) assume the primary risk (if business is poor);

(b) realize the greater return (in the event of success);

(c) and elect the board of directors (who control the company).

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thank you, come again!
Froogle 1.1.1.7

COMMON STOCK

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