Free Guide to
Bookkeeping Concepts

Accounting Bookkeeping Concepts PDF Cover

Receive our free 18-page Guide to Bookkeeping Concepts (PDF) when you subscribe to our free newsletter.

You are already subscribed. This offer is not available to existing subscribers.
Step 2: Please check your email and click the confirmation link.


What is capital stock?

Capital stock is the combination of a corporation's common stock and preferred stock (if any).

Common stock is usually the first and only capital stock issued by corporations. However, some corporations will also issue preferred stock.

The amount received by the corporation when it issued shares of its capital stock is reported in the stockholders' equity section of the balance sheet.