All of the Following Are True About the Issuance of Non-Voting

question 43

Multiple Choice

All of the following are true about the issuance of non-voting common stock EXCEPT

• A) it has been issued as a defense against an unfriendly takeover.
• B) it has been issued when the corporation wishes to raise capital through the sale of common stock, but does not want to relinquish its voting control.
• C) it tends to result in unequal voting rights among the shareholders.
• D) it tends to result in the dilution of voting rights of current stockholders.

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Definitions:

Stability In Employment

The assurance of continuing job security and consistent work conditions over time, contributing to a stable workforce.

Mainstream Economic Perspective

Refers to the dominant school of thought in economics that emphasizes rational choice, market equilibrium, and the beneficial role of free markets in allocating resources efficiently.

Voice

A term in industrial relations referring to the ability of employees to express their opinions, grievances, or suggestions, either individually or collectively, within the workplace.

Mainstream Economics

The most widely accepted and practiced theories and models in economics, focusing on market equilibrium, the rational behavior of economic agents, and the efficiency of markets.