The Preemptive Right Enables a Shareholder to

Multiple Choice

The preemptive right enables a shareholder to

A) share proportionately in any new issues of shares in the same class.
B) receive cash dividends before other classes of shares without the preemptive right.
C) sell shares back to the corporation at the option of the shareholder.
D) receive the same amount of dividends on a percentage basis as the preferred shareholders.