Which statement is true of common stockholders?

Question

Quizplus · Accepted Answer

Common stockholders have the right to vote at annual meetings, with the number of votes typically corresponding to the number of shares they own. This voting right allows them to influence corporate policy and decisions, including the election of the board of directors. The other options are incorrect: creditors are paid before stockholders if the corporation makes a profit, dividends are not guaranteed and are paid at the discretion of the company's board of directors, and stockholders are not required to purchase stock at its par value; the market price of a stock can fluctuate above or below its par value.

Which Statement Is True of Common Stockholders