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If Shareholders Have a Pre-Emptive Right, Which of the Following

Question 93

Multiple Choice

If shareholders have a pre-emptive right, which of the following can they do?


A) exchange bonds for shares of stock from the same firm
B) purchase shares of a new stock offering being issued by a firm in which they already have shares
C) receive a guaranteed reimbursement for losses if the firm goes bankrupt
D) fire the CEO without the approval of the board of directors

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