Preferred Shareholders

question 45

Multiple Choice

Preferred shareholders

• A)typically have the same voting rights as common shareholders.
• B)do not share the ownership of the firm with common shareholders.
• C)typically participate in the profits of the firm beyond the stated fixed annual dividend.
• D)may not receive a dividend every year.

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Definitions:

Kohlberg

Refers to Lawrence Kohlberg, a psychologist known for his theory of moral development which proposes that moral reasoning progresses through a series of stages.

Adulthood

The period in human life when an individual is considered legally responsible for their actions and fully developed physically and mentally, often recognized at a specific age by law.

Utilitarians

Philosophers who believe that the best action is the one that maximizes utility, typically measured in terms of well-being of sentient entities.

Rigidity

Refers to inflexibility or stiffness in materials, or metaphorically to strictness in methods, rules, or systems.