Common shares are the term used to describe the amount paid by investors for shares of ownership in a company. Shareholders have no rights to claim to corporate resources until all creditors have been paid. Many companies pay shareholders a return on their investment on a regular basis called dividends. These activities involve the purchase of long-lived resources called assets. Investing generally involves long-lived assets, such as property, plants, and equipment. Items that are held for sale for future are called inventory. Once the goods are sold, they are expenses (cost of goods sold). Four main financial statements: statement of earnings, statement of retained earnings, balance sheet, cash flow statement. Additional information is reported to the notes of the financial statements. Statement of earnings j reports the success or failure of the companys operations for a period of time j annually, quarterly, or monthly. Note that cents are not reported on financial statements.