the company inc is having three shareholders as follows: a- owner of 30 share, clas a...

the company inc is having three shareholders as follows:

a- owner of 30 share, clas a containing the right to vote

b- owner of 35 shares,class a containing theright to vote

c- owner of 40 shares, class b containing the right to recieve ividends

indicate which are the responsibilties of the shareholder of the company ABC Inc.

Expert Solution

SOLUTION

Responsibilities of share hoders of company ABC inc.

a and b have voting rights thus they are holding common stock .

Responsibilities of shareholders holding common stock ( responsibilities of shareholders in case a and b above )

These share holders are responsible for ensuring long term strength of the corporation by electing board of directors who can take right decisions and provide proper guidance ,proper leadership , policy to fullfill corporate mission and stratagic goals for corporations .
These sharehoders have resposibility to use their voting right properly ensuring long term benefits for corporations on matters like appointment of directors ,major corporate issues ,stock split , major corporate policy .
These share holders have responsibility to vote on on matters like salary to directors and their removal .
Make decision on matters on which directors have no power like change in constitution of corporation .
Resposibility of checking and approving financial statements of corporation .
These share hoders are responsible for providing current adress in order to receive dividends and reiving information materials that includes annual reports , news letters , voting proxies and other informations .

c is holder of preffered shares his responsibilities are undermentioned

These share hoders are responsible for providing current adress in order to receive dividends and reiving information materials that includes annual reports , news letters and other informations .

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ekkarill92 answered 2 years ago

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