Common shares: a. Allow shareholders to bind the corporation to contracts because they share in...

80.2K

Verified Solution

Question

Accounting

Common shares:

a. Allow shareholders to bind the corporation to contracts because they share in ownership.

b. Represent residual equity in a corporation.

c. Make shareholders liable for acts of the corporation because they share in ownership.

d. Are usually redeemable.

e. Always represent total contributed capital.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students