The Board Approves a Proposed Amendment to Deny Existing Preemptive

question 52

Multiple Choice

The board approves a proposed amendment to deny existing preemptive rights to Class A preferred, and to issue stock in a new Class D preferred that would be accorded liquidation preference after all other classes of preferred stock. Preferred Classes B and C would remain the same. Which of the following would be true?

• A) Only Class B and C shareholders vote.
• B) A majority of Class A, B, and C shareholders all together would be needed to pass the amendment.
• C) Class B and C shareholders would not be entitled to vote at all.
• D) Class A and C shareholders would vote together.

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Definitions:

Unconscious Level

A part of the mind that houses thoughts, memories, and desires not immediately accessible to conscious awareness, yet influencing behavior.

Repression

A defense mechanism proposed by Freud, where unpleasant thoughts, feelings, or desires are excluded from consciousness.

Unconscious Factor

Elements of the psyche that influence thoughts and behavior without the individual's conscious awareness.

Life Narrative

An individual's personal story or account of their life experiences, reflecting their identity, values, and beliefs over time.