Consider a Corporation That Was Originally 100% Family Owned

question 10

Multiple Choice

Consider a corporation that was originally 100% family owned.Which of the following statements is TRUE?

• A)Each time the company issues new shares family control may be reduced.
• B)If the family owns more than 50% of the shares they still have effective control of the firm.
• C)Even if the family owns less than 50% of the outstanding shares they may still retain effective control of the firm,especially if there are no other large shareholders.
• D)All of the above are true.

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