Which of the following is not a basic right of common shares?
A)Right to share in profits and losses
B)Right to participate in the management of the company
C)Right to vote in the selection of the board of directors for the corporation
D)Right to share in the assets upon liquidation

Question

Quizplus · Accepted Answer

Common shares do not have an automatic right to participate in the management of the company. This right is usually reserved for preferred shares or the board of directors.

Which of the Following Is Not a Basic Right of Common