_____ results when a corporation issues additional shares,resulting in a reduction of percentage of the corporation owned by shareholders.

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Dilution results when a corporation issues additional shares, which reduces the percentage ownership of each existing shareholder. This can happen when a company seeks to raise additional capital or when stock options are exercised. Preemption refers to the right of existing shareholders to purchase new shares before they are offered to the public. Novation is a legal term referring to the replacement of one party with another in a contract. Accretion refers to the gradual growth or increase of something over time. Restitution involves returning something that was lost, stolen, or damaged to its owner.

_____ Results When a Corporation Issues Additional Shares,resulting in a Reduction