Shares0903

-The capital of a company it,s divided in equal parts. These parts recive the name of "shares".

The value that has every share of the company, represents the value of this one on the market in this concrete moment. The value for the one that sells the action on the market represents both, his value of the assets and his aptitude to generate money. When a company needs the capital, for example, it expresses shares to obtain funding. The whole of these shares is known as share capital expressed of the company. There are a kind of shares in some companies, but they are very unpopular between investors because these shares don,t give any decision power to the persons that buy them; they are getting out of fashion.

The shareholders of the company are paid with the dividends that the shares or stocks produces. But only a part it,s given to them, the rest is dedicated to the internal growth and to survive the bad years.

Another way of measuring the benefit of the company is with the expression " earnings per share " that is the part of benefit that corresponds to every share. Also we can talk about "the yield". It is expressed as a percentage and it is different according to the country to which we are talking about (in UK is aroun 3.6 per cent net).

Mark = 5

Unless otherwise stated, the content of this page is licensed under Creative Commons Attribution-ShareAlike 3.0 License