Issued stock refers to which of the following?

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Master the UCF ACG2021 Principles of Financial Accounting Final Exam. Study with comprehensive practice tests, flashcards, and multiple choice questions, each with detailed explanations. Ace your exam!

Issued stock represents the shares of a company that have been sold and are held by shareholders. This includes both outstanding stock, which is currently held by investors, and treasury stock, which is stock that the company has repurchased and is held in its own treasury.

When a company issues stock, it may sell some of it to the public and then later decide to buy some of those shares back. The shares currently owned by shareholders are considered outstanding, while the shares bought back by the company are classified as treasury stock. Therefore, the correct selection encompasses all stock that has been issued, whether it is actively owned in the market (outstanding) or held by the company itself (treasury stock). This distinction is crucial in financial accounting as it impacts a company's equity structure and its financial reporting.