Examlex
Consider the diagram below. Which of the following correctly represents the components transported by the lettered arrows?
New Shares
Additional shares of stock issued by a company to raise capital or in connection with a stock split.
Noncontrolling Interest
A minority stake in a company that is not enough to exert control over its operations, often less than 50% of the voting shares.
Cumulative Dividend
A type of dividend that accumulates if not paid in one period and must be satisfied before dividends can be distributed to common shareholders.
Preferred Stock
A class of ownership in a corporation with a fixed dividend payout, which takes precedence over common stock dividends.
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