If a Corporation Fails, the Last Recipients of Funds That

question 159

Multiple Choice

If a corporation fails, the last recipients of funds that may remain are

• A) preferred stockholders.
• B) common stockholders.
• C) bond holders.
• D) government tax collectors.

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Definitions:

Majority Rule

A decision rule that selects alternatives which have a majority, that is, more than half the votes.

Median Voter Theorem

A political science theory suggesting that the outcome of a majority-vote election is most likely to represent the preferences of the median voter.

Majority Rule

A decision-making process where the choice supported by more than half of the members in a group is accepted or becomes the decision.

Median Voter Theorem

A theory suggesting that a majority rule voting system will select the outcome most preferred by the median voter.