Choose the Word or Phrase in [ ] Which Will

question 165

Short Answer

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-The actual ownership of a mutual fund is in the hands of the [management company | shareholders].

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Definitions:

Par Preferred Stock

Preferred shares of a company that have a declared face value and potentially have priority over common stock in dividend distribution.

Shares

Shares represent an ownership stake in a company or financial asset, entitling the holder to a proportional share of profits, distributed as dividends, if announced.

No-par Common Stock

Shares issued without a specified face value, allowing the company flexibility in setting their price.

Stated Value

A value assigned to no-par stock by the board of directors of a company, used as the basis for capital accounts in the shareholders' equity section of the balance sheet.