- CFA Exams
- CFA Level I Exam
- Topic 4. Financial Statement Analysis
- Learning Module 4. Analyzing Statements of Cash Flows I
- Subject 1. Linkages Between the Financial Statements
CFA Practice Question
Shares of stock that have been bought back and are held by the company are called ______.
B. authorized stock
C. issued stock
A. treasury stock
B. authorized stock
C. issued stock
Correct Answer: A
Shares of stock that have been bought back and are held by the company are called treasury stock.
User Contributed Comments 4
| User | Comment |
|---|---|
| CFAonTheBrain | what is authorized stock? |
| Htoon | Authorized stocks are stock that the company files at the SEC that it will issue stock during certain years. |
| SaeedAlam | Authorized stock is the max. amount of stock that a company can issue based on a vote by its shareholders. |
| sboyadjiev | Authorized shares are the number of shares that may be sold under the firm's articles of incorporation. Issued shares are the number of shares that have actually been sold to shareholders. Outstanding Shares= Issued shares - shares that have been reacquired by the firm, i.e. treasury stock. Hope this would help |