The ownership in a corporation is divided into shares of stock, which carry rights to a share in the profits of the firm through future dividend payments.

Question

Quizplus · Accepted Answer

This is true. When individuals or institutions purchase shares of stock in a corporation, they become part owners of the company with a claim to a portion of its profits. This is typically realized through dividend payments, which are distributed to shareholders on a regular basis.

The Ownership in a Corporation Is Divided into Shares of Stock