A person whose spouse has died within the tax year and who may file a joint tax return for that year. Additionally, the surviving spouse can file joint returns for the next two years if they remain unmarried and maintain a household as the principal residence for a dependent child.
Stock Rights
[stok rīts]
What is the definition of Stock Rights?
Stock rights are privileges granted to existing shareholders of a corporation, allowing them to purchase additional shares at a price typically below the current market value before the shares are offered to the public. These rights can be exercised, sold, or allowed to expire.
Using Stock Rights in an Example
A company may issue stock rights to its current shareholders, enabling them to buy new shares at $10 each, even though the current market price is $15. This allows shareholders to increase their holdings at a lower cost, potentially benefiting from future increases in stock value.
Using Stock Rights in a sentence
During the board meeting, the CFO explained how issuing stock rights could potentially dilute the current share value but also provide a way to raise capital efficiently.
Related Terms
Swap
A financial contract in which two parties agree to exchange streams of payments over a specified period, based on different indices such as interest rates, foreign exchange rates, or equity indices, applied to a notional amount. Swaps typically do not involve the exchange of principal.
Deferred.com Resources
Recent Posts
