COMMON-STOCK RATIO

By SovConn | May 15, 2014

common-stock ratio.The relationship of outstanding common stock to the corporation’s total capitalization. • The common-stock ratio measures the relative claims of stockholders to earnings (earnings per share and payout ratio), cash flow (cash flow per share), and equity (book value per share). Cf. PAYOUT RATIO.[Blacks Law 8th]

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