Distributional Interest Refers to a Member's Ownership Interest in an LLC

question 80

True/False

Distributional interest refers to a member's ownership interest in an LLC.

---

Definitions:

Preferred Stock

A type of stock issued by corporations, which gives holders a right to share in earnings and liquidation before common shareholders do.

Capital Stock

The general term applied to the shares of a corporation.

Preferred Stock

A class of ownership in a corporation that has a higher claim on the assets and earnings than common stock.

Capital Stock

The total amount of shares that a corporation is authorized to issue, as represented in its financial statements.