At least one class of a company's common share must have all three of the following rights except
A)the right to vote at meetings of the company's shareholders.
B)the right to receive dividends,if declared.
C)the right to a share of the company's net assets upon liquidation of the company.
D)the right to convert shares to cumulative participating preferred shares.

Question

Quizplus · Accepted Answer

The right to convert shares to cumulative participating preferred shares is not a necessary or common right for a class of common shares. The three common rights for a class of common shares are the right to vote at meetings, the right to receive dividends if declared, and the right to a share of the company's net assets upon liquidation.

At Least One Class of a Company's Common Share Must