Examlex
Which of the following statements is NOT consistent with the cohesion-tension theory?
Par-Value Approach
An accounting method that assigns a nominal value to the shares of a corporation, which may bear no correlation to the market value of those shares.
Common Shares
Equity securities representing ownership in a corporation, providing voting rights, and entitling holders to a share of the company’s success through dividends and/or capital appreciation.
Agency Approach
A mechanism used in financial management where one party (the agent) is allowed to act on behalf of another (the principal) in financial transactions or decisions.
Common Shares
Equity securities that represent ownership in a corporation, providing voting rights and entitling the holder to a share of the company’s success through dividends and/or capital appreciation.
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