Stock that is owned by the company or general public (shareholders) is called which?

Stock that is owned by the company or general public (shareholders) is called which?

• A. Issued Stock
• B. Treasury Stock
• C. Outstanding Stock
• D. Common Stock

Answer: (A)

Understanding stock ownership and the way firms categorize shares helps answer this. Issued stock is the total number of shares a company has issued, meaning it has put into circulation through selling or granting. This includes shares held by investors (outstanding shares) and shares that the company itself has repurchased and holds as treasury stock. Because the question describes stock owned either by the company or by the public, it refers to all shares that have been issued, not just the portion held by investors or the portion held by the company alone. Outstanding stock would be those held by investors only, excluding treasury stock. Treasury stock is specifically the shares the company owns back. Common stock is the type of equity itself, not a descriptor of ownership status. So the best term for stock owned by the company or by the public is issued stock.

Understanding stock ownership and the way firms categorize shares helps answer this. Issued stock is the total number of shares a company has issued, meaning it has put into circulation through selling or granting. This includes shares held by investors (outstanding shares) and shares that the company itself has repurchased and holds as treasury stock. Because the question describes stock owned either by the company or by the public, it refers to all shares that have been issued, not just the portion held by investors or the portion held by the company alone. Outstanding stock would be those held by investors only, excluding treasury stock. Treasury stock is specifically the shares the company owns back. Common stock is the type of equity itself, not a descriptor of ownership status. So the best term for stock owned by the company or by the public is issued stock.