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Business Definition for: authorized stock (shares)
authorized stock (shares)
maximum number of shares in each class of capital stock that a corporation can legally issue. (It may not actually issue all of the shares authorized.) The total shares per class of stock, for example common stock, or preferred stock, is specified in the corporate charter or articles of incorporation . The number of authorized shares can be increased by amending the articles of incorporation or charter, which is usually accomplished by shareholder vote.
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