Capital stock is the number of common and preferred shares that a company is authorized to issue, and is recorded in shareholders' equity. (11) "Stated capital" means the sum of: (A) the par value of all shares of the corporation with par value that have been issued;Profit corporation must issue (sell) shares of stock in order to provide the corporation with its own capital, separate from its owners' money. Capital stock, also known as authorized stock, refers to all common stock and preferred stock a corporation is legally allowed to issue. Stock certificates represent a shareholder's ownership in a corporation, as a way for investors maintain and prove their ownership of stock. A bank must submit an application and obtain the OCC's approval prior to completing a reverse stock split. Paid to fractional shareholders. A bank must submit an application and obtain the OCC's approval prior to completing a reverse stock split. Unlike some states, Texas does not dictate a par value, meaning a threshold value under which a stock cannot be sold. 7. Capital gain (or loss). 8.