The Preemptive Right Allows Shareholders the

question 30

Multiple Choice

The preemptive right allows shareholders the

• A)opportunity to maintain their original ownership percentage
• B)right to purchase shares in the secondary markets
• C)right to vote for members of the board of directors
• D)all of these answers are correct

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Definitions:

Direct Non-Controlling Interest

A portion of equity in a subsidiary not attributable directly to the parent company, representing minority shareholders' stake in the entity.

Direct Non-Controlling Interest

A proportional interest in a subsidiary not held by the parent company, representing a share in the equity and profits of the subsidiary.