Question

Which voting method gives shareholders more voting control, because this voting method states that each share of stock has as many votes as there are directors to be elected?

1) Voting trusts
2) Proxy voting
3) Pooling agreements
4) Cumulative voting

Answer 1

Cumulative voting gives shareholders more voting control because each share of stock has as many votes as there are directors to be elected.

Step-by-step explanation:

The voting method that gives shareholders more voting control is cumulative voting. With cumulative voting, each share of stock has as many votes as there are directors to be elected. This means that shareholders can allocate their votes across multiple candidates, giving them more influence over the election of directors. For example, if a shareholder owns 100 shares and there are 5 directors to be elected, the shareholder would have 500 votes that can be distributed among the candidates.