Stockholders Share in the Profits of a Corporation

question 39

Multiple Choice

Stockholders share in the profits of a corporation:

• A)in proportion to their years of stock ownership.
• B)in proportion to their ownership of stock.
• C)equally regardless of number of shares owned.
• D)only if they participate in management decisions.
• E)only if they attend stockholders' meetings.

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Definitions:

Laptops

Portable personal computers with a clamshell form factor, suitable for mobile use and equipped with a screen and alphanumeric keyboard.

Equilibrium Price

The price at which the quantity of goods supplied is equal to the quantity of goods demanded, often considered the market-clearing price.

Equilibrium Quantity

The quantity of goods supplied is equal to the quantity demanded at the market equilibrium price.

Normal Good

A good for which demand increases when consumer income rises, and falls when consumer income decreases, all other factors being constant.