170k views
4 votes
What did Jameson Corporation receive from the five investors who organized it?

1) Cash and a building
2) Shares of $10 par value common stock
3) Shares of $107 par value common stock
4) Shares of $255,000 par value common stock

1 Answer

1 vote

Final answer:

To change Darkroom Windowshade Company's top management, a majority of shareholder votes is needed. A minimum of three investors need to agree, given their share distributions. Investors 1 and 2, voting together, do not hold a majority and cannot be certain of controlling the company without additional shareholder support.

Step-by-step explanation:

The student's initial question about what Jameson Corporation received from the five investors who organized it seems unrelated to the provided reference material, and therefore the answer to that specific question has not been included. Instead, the answer details the analysis of the Darkroom Windowshade Company regarding shareholders' voting power and their influence over the company's management.



For Darkroom Windowshade Company, to change the top management, one would need to gain a majority vote of the stockholders. With 100,000 shares outstanding, this would mean securing at least 50,001 shares as votes. Analyzing the share distribution among investors, we can determine that the minimum number of investors required to change management would be the smallest group whose combined shares total over 50,000. In this case, combining the shares of the top three investors (20,000 + 18,000 + 15,000) would suffice, meaning at minimum three investors would need to agree to make changes to the top management.



If investors 1 and 2 decide to vote together, they will hold a combined total of 38,000 shares (20,000 + 18,000), falling short of the majority. Even though they hold a substantial number of shares, they cannot be certain that they will always have their way in the running of the company, as they would still need additional support from other shareholders.

User Danilda
by
7.7k points