Form with which a corporation may alter the amount of outstanding shares issued by the corporation.
Form with which a corporation may alter the amount of outstanding shares issued by the corporation.
Formulas for calculating shares outstanding Shares outstanding = Shares issued - Shares repurchased. Shares outstanding = Authorised shares - Treasury stock.
Let's look again at our Company XYZ. We know from the previous example that the company has 1,000 authorized shares. If it offered 300 shares in an IPO, gave 150 to the executives, and retained 550 in the treasury, the number of shares outstanding would be 450 shares or 300 float shares + 150 restricted shares.