nonassessable capital stock

nonassessable capital stock definition - business

nonassessable capital stock

Capital stock for which owners cannot be assessed additional funds to cover any liabilities of the firm. Thus, an owner of nonassessable capital stock can lose no more than his or her original investment. Nonassessable stock is the dominant kind issued in the United States.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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