A proxy is
A) a device for circumventing regular voting procedures.
B) a coupon attached to each share of stock and used by the shareholder in casting his vote on current issues.
C) an authorization of a registered stockholder to another person to act in his place at the meeting.
D) a warrant allowing a stockholder to purchase a specified number of additional shares at a given price.

Question

Quizplus · Accepted Answer

A proxy is an authorization given by a registered stockholder to another person to act on their behalf at a meeting, usually a shareholder meeting where important decisions about the company are made. The proxy holder can vote on behalf of the registered stockholder according to their wishes, giving the registered stockholder a way to participate in the decision-making process without physically attending the meeting. The other options describe different aspects of stock ownership or voting but are not related to proxies.

A Proxy Is