One Common Reason for Issuing Two Distinct Classes of Common

question 67

Multiple Choice

One common reason for issuing two distinct classes of common stock is to:

• A)Sell different classes to increase profits
• B)Allow one stock to increase in price while the other class declines
• C)Restrict voting privileges from some shareholders
• D)Conserve cash by offering dividends to only one class of stockholders

---

Definitions:

Free Form

A style or method without a fixed structure, allowing freedom in terms of layout, design, or content.

Strong Close

A powerful and effective conclusion of a communication or presentation that leaves a lasting impression.

Slides

Individual pages or screens in an electronic presentation, each typically focusing on a single topic or point.

Quality

The degree to which something meets certain standards or fulfills requirements, often related to excellence or superiority.