Managing Your Money

How to Find the Sum of Common Stock on a Balance Sheet

How to Find the Sum of Common Stock on a Balance Sheet

How to Find the Sum of Common Stock on a Balance Sheet. Corporations sell shares of common stock to raise money for future growth opportunities. Each share represents partial ownership and entitles the shareholder to receive dividends when the company issues them. The company reports the value of common stock issued in the stockholder equity section of the balance sheet. The value of common stock appears in two accounts. These accounts include common stock and paid in capital on common stock. When a company wants to know the sum of common stock, it uses the asset accounts, liability accounts and select stockholder equity accounts.
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Choose the Right ETFs for Your Portfolio.

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