Asked by
Tabassum Pasha
on Dec 02, 2024Verified
Preemptive rights are the rights of existing shareholders to maintain their proportionate ownership when new shares are issued.
Preemptive Rights
The rights that allow existing shareholders to purchase additional shares before new shares are offered to the public, to maintain their proportionate ownership in the company.
Proportionate Ownership
The percentage of ownership in a company or property, directly correlating to the amount of shares or units an individual or entity possesses.
- Discern the repercussions of policies on dividends and projections for growth on the estimation of stock values.
Verified Answer
JC
Learning Objectives
- Discern the repercussions of policies on dividends and projections for growth on the estimation of stock values.