Which of the Following Represents One of the Basic Rights

question 37

Multiple Choice

Which of the following represents one of the basic rights of stockholders?

• A) Stockholders may sell their stock back to the company if they wish.
• B) Stockholders may authorize a business contract on behalf of the corporation.
• C) Stockholders may determine at what price the company issues stock.
• D) Stockholders may receive dividends from corporate earnings.

---

Definitions:

Status Differentials

The variations in prestige, authority, or rank among members within a social group or organization.

Polite Request

A respectfully framed appeal or petition made to someone.

Legitimate Power

Authority that is officially granted to a leader or manager by an organization, recognized as rightful by those who are governed by it.

Authority

The power or right to give orders, make decisions, and enforce obedience.