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Management · Q615

International Finance and Treasury

Graduate and Post Graduate · Management · question 615

Q615

Stock holder who does not have any voting rights in corporation is considered as

A.
sub class voter
B.
preferred stockholder
Answer
C.
common stock holder
D.
cumulative voter

Answer: Option B

Solution

Answer: Option B
Solution:
Stock holder who does not have any voting rights in corporation is considered as preferred stockholder. Preferred stock is a type of ownership that receives greater demand on a company's profits and assets than common stock. While preferred shareholders do not typically have a right to vote in the company, they do hold the benefit of being paid dividends before common shareholders.