Which Statement About "Common Shares" Is Not Correct

question 4

Multiple Choice

Which statement about "common shares" is not correct?

• A)They have the most upside potential if a company performs well.
• B)A corporation does not need to issue any class of common shares.
• C)Common shares represent the ownership interest of the equity holders.
• D)They have the most downside risk if a company does not perform well.

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Definitions:

Occupiers' Liability Acts

Laws that hold property occupiers responsible for ensuring the safety of those who enter their premises.

Duty of Care

A duty enforced by law on a person to act with reasonable care in activities that could potentially harm other individuals.

Negligence

Not acting with the caution a reasonably careful person would use in similar situations.

Defence

Defence refers to the argument or strategy used by an individual or party to oppose or fight against a claim or accusation in legal proceedings.