What does "minimum capital stock" refer to?

The term "minimum capital stock" specifically refers to the required value of shares that must be subscribed and paid for by the shareholders at the time of incorporation. This figure is crucial because it establishes the baseline financial commitment that shareholders must make to the corporation, ensuring that there is sufficient capital to support its initial operations and goals.

In many jurisdictions, a minimum capital requirement helps protect creditors by ensuring that there is a certain level of financial backing for the business. It signifies to potential investors and market participants that the corporation has a solid financial foundation, which can enhance trust and increase the likelihood of securing further investment.

The other options do not capture the essence of what "minimum capital stock" entails. For example, the concept is not about the total amount of shares issued, maximum capital limits, or the total assets of the corporation itself. Therefore, option B accurately defines "minimum capital stock" in the context of corporate formation and financial requirements.