A Stock Is Said to Sell "Ex-Rights

question 56

Multiple Choice

A stock is said to sell "ex-rights"

• A)when the period in which the subscription privilege is to be exercised has expired.
• B)when transfer of stock ownership no longer carries with it the privilege of subscription.
• C)after the rights have all been exercised and the new issue is completely sold.
• D)after the terms of the subscription have been made public.

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Definitions:

Significant Influence

The ability to impact the decision-making of another company, typically through ownership of a considerable percentage of shares or voting rights, but not full control.

Legal Entities

Organizations or structures that are recognized by law as having rights and responsibilities, such as corporations, partnerships, and sole proprietorships.

Economic Entities

Organizations or units that engage in economic activities, recognized as separate from their owners.

Wholly Owned Subsidiaries

Companies whose entire share capital is 100% owned by another company, the parent company.