Why Is Knowing Whether Directors Have Been Purchasing Shares of a Corporation

question 69

Multiple Choice

Why is knowing whether directors have been purchasing shares of a corporation a fundamental right belonging to the shareholders of a corporation?

• A) It permits shareholders to maintain the optimum proportionate share of ownership.
• B) It is the simplest and least costly method of earning capital gains.
• C) It is the simplest and least costly method of soliciting proxies.
• D) It permits shareholders to determine the use of confidential information for personal profit.

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Definitions:

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