The Pre-Emptive Right of an Ordinary Shareholder Is the Right

question 46

Multiple Choice

The pre-emptive right of an ordinary shareholder is the right to

• A)share proportionately in corporate assets upon liquidation.
• B)share proportionately in any new issues of stock of the same class.
• C)receive cash dividends before they are distributed to preference shareholders.
• D)exclude preference shareholders from voting rights.

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Definitions:

Primary Motivator

The main influence or drive behind a person's actions or behavior, often related to fulfilling basic needs or achieving personal goals.