This illustrated glossary uses Visual Finance™ to provide a contextualized 'big picture' view of financial results. The examples feature data for the Round Number Company—a 'made-up company' with simplified figures. The Appendix presents an explanation of how to read Visual Finance as well as the financial statements and VF views for the Round Number Company.
The original investment in the company, plus any additional investment from outside the company; Capital Stock does not include Retained Earnings.
Capital Stock is part of Shareholders’ Equity. Look at the Financial Statements to see how Equity is broken out into the different sources.
Also known as Share Capital.
Note: Capital Stock is not the same as Capital although some people might use the terms interchangeably.
The above is our generic explanations of common corporate financial terminology. Actual meanings can vary widely from company to company; in order to have the correct internal definition you need to ask your Finance Department, "What do you mean by that?"
term list.