Asked by Timothy DeKorver on Jul 11, 2024
Verified
Owners of ________ stock own a portion of a corporation but do not enjoy any preferences.
A) watered
B) secondary
C) diluted
D) conditional
E) common
Common Stock
Corporate stock that does not convey any preferences to its holders.
Corporation
A legal entity formed by issuing stock to investors, who are the owners of the corporation.
Preferences
Preferences typically involve decisions or policies that give priority or advantage to particular individuals or groups, often seen in legal contexts such as bankruptcy.
- Gain insight into the varieties of stock available and their corresponding rights, particularly focusing on preferences and their influence on ownership stakes.
Verified Answer
MC
Mirka ChacónJul 14, 2024
Final Answer :
E
Explanation :
Owners of common stock,or common shares,own a portion of a corporation but do not enjoy any preferences.A common stock owner is entitled to a portion of the corporation's dividends in proportion to the number of shares of common stock he or she owns.
Learning Objectives
- Gain insight into the varieties of stock available and their corresponding rights, particularly focusing on preferences and their influence on ownership stakes.
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