The issuance of stock of a corporation sometimes requires shareholder approval.

Name: The issuance of stock of a corporation sometimes requires shareholder approval.
Brand: Quizplus
Rating: 4.9 (44 reviews)

Question

Quizplus · Accepted Answer

The issuance of significant amounts of new stock can dilute the ownership percentage of existing shareholders, so many corporations require shareholder approval for such actions, often outlined in the corporation's charter or bylaws and in accordance with regulatory and exchange listing requirements.

The Issuance of Stock of a Corporation Sometimes Requires Shareholder