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In: Finance
5 Rust Pipe Co. was established in 1994. Four years later the company went public. At...
5
Rust Pipe Co. was established in 1994. Four years later the
company went public. At that time, Robert Rust, the original owner,
decided to establish two classes of stock. The first represents
Class A founders' stock and is entitled to eleven votes per share.
The normally traded common stock, designated as Class B, is
entitled to one vote per share. In late 2010, Mr. Stone, an
investor, was considering purchasing shares in Rust Pipe Co. While
he knew the existence of founders’ shares were not often present in
other companies, he decided to buy the shares anyway because of a
new technology Rust Pipe had developed to improve the flow of
liquids through pipes.
Of the 1,850,000 total shares currently outstanding, the original founder's family owns 52,625 shares.
What is the percentage of the founder's family votes to Class B
votes? (Do not round intermediate calculations. Input your
answer as a percent rounded to 2 decimal places.)
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jeff jeffy answered 1 year agoRelated Solutions
Rust Pipe Co. was established in 1994. Four years later the company went public. At that...
Rust Pipe Co. was established in 1994. Four years later the
company went public. At that time, Robert Rust, the original owner,
decided to establish two classes of stock. The first represents
Class A founders' stock and is entitled to twelve votes per share.
The normally traded common stock, designated as Class B, is
entitled to one vote per share. In late 2010, Mr. Stone, an
investor, was considering purchasing shares in Rust Pipe Co. While
he knew the existence...
Rust Pipe Co. was established in 1994. Four years later the company went public. At that...
Rust Pipe Co. was established in 1994. Four years later the
company went public. At that time, Robert Rust, the original owner,
decided to establish two classes of stock. The first represents
Class A founders' stock and is entitled to twelve votes per share.
The normally traded common stock, designated as Class B, is
entitled to one vote per share. In late 2010, Mr. Stone, an
investor, was considering purchasing shares in Rust Pipe Co. While
he knew the existence...
Rust Pipe Co. was established in 1994. Four years later the company went public. At that...
Rust Pipe Co. was established in 1994. Four years later the
company went public. At that time, Robert Rust, the original owner,
decided to establish two classes of stock. The first represents
Class A founders' stock and is entitled to eleven votes per share.
The normally traded common stock, designated as Class B, is
entitled to one vote per share. In late 2010, Mr. Stone, an
investor, was considering purchasing shares in Rust Pipe Co. While
he knew the existence...
Rust Pipe Co. was established in 1994. Four years later the company went public. At that...
Rust Pipe Co. was established in 1994. Four years later the
company went public. At that time, Robert Rust, the original owner,
decided to establish two classes of stock. The first represents
Class A founders' stock and is entitled to eight votes per share.
The normally traded common stock, designated as Class B, is
entitled to one vote per share. In late 2010, Mr. Stone, an
investor, was considering purchasing shares in Rust Pipe Co. While
he knew the existence...
Rust Pipe Co. was established in 1994. Four years later the company went public. At that...
Rust Pipe Co. was established in 1994. Four years later the
company went public. At that time, Robert Rust, the original owner,
decided to establish two classes of stock. The first represents
Class A founders' stock and is entitled to eleven votes per share.
The normally traded common stock, designated as Class B, is
entitled to one vote per share. In late 2010, Mr. Stone, an
investor, was considering purchasing shares in Rust Pipe Co. While
he knew the existence...
Rust Pipe Co. was established in 1994. Four years later the company went public. At that...
Rust Pipe Co. was established in 1994. Four years later the
company went public. At that time, Robert Rust, the original owner,
decided to establish two classes of stock. The first represents
Class A founders' stock and is entitled to seven votes per share.
The normally traded common stock, designated as Class B, is
entitled to one vote per share. In late 2010, Mr. Stone, an
investor, was considering purchasing shares in Rust Pipe Co. While
he knew the existence...
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Under a firm commitment agreement, Zeke, Co. went public and
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