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The Right of Common Shareholders to Protect Their Proportionate Interest

Question 34

Multiple Choice

The right of common shareholders to protect their proportionate interest in a corporation by having the first opportunity to buy additional proportionate shares of common stock issued by the corporation is called a:


A) Preemptive right.
B) Proxy right.
C) Right to call.
D) Financial leverage.
E) Voting right.

Correct Answer:

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