How Do You Spell COMMON-STOCK?

Pronunciation: [kˈɒmənstˈɒk] (IPA)

The correct spelling for the financial term "common-stock" is /ˈkɑː.mən ˌstɑːk/. The first syllable "com" is pronounced with the vowel sound /ɑː/, which is like the "a" in "father". The second syllable "mon" is pronounced with the vowel sound /ɒ/, which is like the "o" in "not". The next syllable "stock" is pronounced with the vowel sound /ɑː/ again. It is important to spell "common-stock" correctly in financial documents to avoid confusion and misinterpretation of its meaning.

COMMON-STOCK Meaning and Definition

  1. Common stock is a type of security that represents ownership in a corporation. It is one of the most prevalent forms of equity ownership in a company and is widely traded on stock exchanges. Common stockholders have a claim on the company's assets and earnings, as well as the right to vote in the company's general meetings.

    When an individual purchases common stock, they become a partial owner of the company and acquire a proportionate share of the company's assets and profits. Common stockholders may also benefit from capital appreciation if the value of the stock increases over time. However, they also face the risk of losing their investment if the company performs poorly.

    One significant characteristic of common stock is that it ranks lower in priority than other types of securities, such as preferred stock or bonds, in case of liquidation or bankruptcy. This means that common stockholders are the last to receive any remaining assets after other obligations and debts have been paid.

    Common stockholders also have the right to vote on significant corporate matters, such as the election of the board of directors and major corporate policy decisions. Each share of common stock typically carries one vote, allowing shareholders to have a say in the direction and management of the company.

    Overall, common stock represents ownership in a corporation and provides shareholders with the potential for capital appreciation and the ability to participate in corporate decision-making.

Common Misspellings for COMMON-STOCK

  • commonstock
  • commonpstock
  • common0-stock
  • common-0stock
  • commonp-stock
  • common-pstock
  • common--stock
  • commo.-stock
  • commonmstock
  • common-stwock

Etymology of COMMON-STOCK

The word "common-stock" originates from the combination of two components: "common" and "stock".

The etymology of "common" traces back to the Latin word "communis", meaning "shared" or "belonging to all". It later entered Old French as "commun", with the same signification. Over time, "common" became an English adjective in the 14th century, retaining its fundamental idea of something that is available to or affects everyone.

The term "stock" has its roots in the Old English word "stocc", which referred to a tree trunk or a wooden stake used as a barrier. In the context of commerce and finance, "stock" emerged as a noun in the late 16th century. Initially, it denoted a supply of goods or merchandise held by a merchant as part of their enterprise.

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