There is no contra account to accumulate amortization Straight-line amortization is usually used. The articles of incorporation indicate the number of shares of stock that a corporation is authorized to issue Authorized stock is the maximum number of shares the corporation may issue. Issued stock is the number of share that have been transferred to stockholders.
Outstanding stock is the shares that have been issued and are still held by stockholders.
When only one type of stock is issued it is called common stock. A second type of stock, called preferred stock, can be issued Because common stockholders' claim to assets on liquidation ranks behind that of creditors and preferred stockholders, common stock is considered the residual equity of a company. A distribution of assets by a corporation to its stockholders, usually in cash. Dividends usually are stated as a specified dollar amount per share of stock. Three dates associated with a cash dividend Date of declaration - this is the date on which the board of directors declares a dividend.