SIE practice questioneasyVoting Rights
What is a typical right of common stockholders?
- AGuaranteed annual dividends
- BVoting for the board of directors✓ Correct answer
- CPreference in bankruptcy
- DFixed interest payments
Explanation
Why B — Voting for the board of directors
Common shareholders can elect the board of directors. They do not have guaranteed dividends, bankruptcy preference, or fixed interest income.
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