If an investor owns 30% of the ordinary shares of a corporation, it is generally presumed that the investor cannot exert significant influence over the financial and operating activities of the business.

Question

Quizplus · Accepted Answer

Owning 30% of ordinary shares may give an investor significant influence over the financial and operating activities of a business. The level of influence depends on factors such as the concentration of ownership, the distribution of share ownership, and the rules governing voting rights.

If an Investor Owns 30% of the Ordinary Shares of a Corporation