Which of the following statements reflects the transferability of ownership rights in a corporation?
A) If a shareholder decides to transfer ownership, he must transfer all of his shares.
B) A shareholder may dispose of part or all of his shares.
C) A shareholder must obtain permission of the board of directors before selling shares.
D) A shareholder must obtain permission from at least three other shareholders before selling shares.

Question

Quizplus · Accepted Answer

Shareholders in a corporation have the flexibility to sell or transfer part or all of their shares to others without needing to sell all of their shares or obtain permission from the board of directors or other shareholders. This transferability is a key feature of corporate ownership, making shares more liquid and attractive to investors.

Which of the Following Statements Reflects the Transferability of Ownership