Which of the Following Is a Characteristic of Common Stock

question 121

Multiple Choice

Which of the following is a characteristic of common stock?

• A) The right to share profits by receiving dividends
• B) The right to vote
• C) The right to sell their stock
• D) All of the above are correct.

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Definitions:

Gross Earnings

The total income earned by an individual or business before any deductions or taxes.

Federal Income Taxes

Taxes imposed by the federal government on the annual earnings of individuals, corporations, trusts, and other legal entities.

Net Pay

The amount of money an employee receives after deductions such as taxes and retirement contributions are subtracted from their gross salary.

Payroll

The total amount of wages, salaries, and other compensation that a company owes to its employees for a set period.