The term residual claim refers to a shareholder's right to
A) receive dividends.
B) share in assets upon liquidation.
C) acquire additional shares when offered.
D) exercise the right to vote.

Question

Quizplus · Accepted Answer

Residual claim refers to a shareholder's right to share in the assets of a company upon its liquidation, after all debts and other obligations have been paid.

The Term Residual Claim Refers to a Shareholder's Right to