Footnote For Board Stock Comp Expense

The financial statements should include a footnote describing the number of shares authorized, issued, and outstanding, their par values, and the rights and privileges associated with each class of stock. A description of these rights and privileges should include dividend preferences and special privileges or unusual voting rights. An example follows As of October 31, 2005, the company capital structure consisted of common stock and Series A preferred stock. There were 10,000,000 shares of...

Policies

Stock issuance costs shall include only certificate printing, security registration, and legal and underwriting fees. This policy is designed to strictly limit the types of expenses that can be charged against the proceeds from a stock offering. By doing so, there is little room for extraneous expenses to be netted against a stock sale. Stock subscription plans for employees must be approved by the Board of Directors. This policy requires the Board to authorize the number of shares that may be...