Capital stock (common stock)
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Capital (common) stock is a class of stock that represents ownership interest in a firm. Common stockholders are typically the only shareholders that have voting privileges because they are the true owners of the firm. Investors bear the greatest risk when purchasing common stock because common stockholders stand last in line when it comes to the payment of income, or assets in the event of liquidation. By like token, common stockholders reap the greatest rewards because all earnings of a firm in excess of all obligations belong to the common stockholders.