Question

The owners of a corporation are its shareholders. If a corporation has only one class of shares, they typically are labeled common shares. Each of the following are ownership rights held by common shareholders, unless specifically withheld by agreement except

A) Voting rights
B) Dividend rights
C) Liquidation rights
D) Priority in receiving interest payments

Answer 1

The owners of a corporation are its shareholders. If a corporation has only one class of shares, they typically are labeled common shares. Each of the following are ownership rights held by common shareholders, unless specifically withheld by agreement except Priority in receiving interest payments. Option D.

Step-by-step explanation:

The subject of this question is Business. In a corporation, the owners are the shareholders. One class of shares in a corporation is typically labeled common shares. Common shareholders have certain ownership rights, unless specifically withheld by agreement. These ownership rights include:

1. Voting rights: Common shareholders have the right to vote on matters that affect the corporation, such as the election of the board of directors or major changes in the company's operations.
2. Dividend rights: Common shareholders have the right to receive dividends, which are a portion of the corporation's profits distributed to shareholders.
3. Liquidation rights: Common shareholders have the right to receive a portion of the corporation's assets if it is liquidated or dissolved.
4. Priority in receiving interest payments: This ownership right is not held by common shareholders. Priority in receiving interest payments is usually given to holders of debt securities, such as bondholders.

Hence, the right answer is option D.