What Provision Entitles the Common Shareholder to Maintain a Proportionate

question 5

Multiple Choice

What provision entitles the common shareholder to maintain a proportionate share of ownership in a firm?

• A) the cumulative feature
• B) the convertible feature
• C) the proportionality clause
• D) the preemptive right

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Definitions:

Entrepreneurial Personality

A set of personality traits or characteristics that are commonly found in successful entrepreneurs, such as risk-taking, creativity, and resilience.

Need To Achieve

The personal quality, linked to entrepreneurship, of being motivated to excel and choose situations in which success is likely.

Entrepreneurship

The act of creating, managing, and building a business venture to make a profit while taking on financial risks.

Success

The achievement of set goals, targets or intended outcomes, often marked by performance or attainment in personal or business endeavors.