Which One of the Following Statements Is NOT True About

question 48

Multiple Choice

Which one of the following statements is NOT true about common stock?

• A) Common-stock holders have the right to vote on the selection of the board of directors for the firm.
• B) Common stock is considered to have no fixed maturity.
• C) Owners of common stock are guaranteed dividend payments by the firm.
• D) Common-stock holders have limited liability.

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Definitions:

Mere Exposure Effect

The tendency of people to like things more just because they recognize them.

Self-Fulfilling Prophecy

A belief or expectation that an individual holds about a future event that manifests because the individual holds it.

Self-Disclosure

The act of revealing personal, private information about oneself to others, facilitating intimacy and trust in relationships.

Social Scripts

Culturally provided mental instructions for how to act in various social situations, guiding behavior in recognizable routines.