1. Rights and privileges of common stockholders Lamy Nelson holds 1,000 shafes of General Electric (GE) common stock. As a stockholder, he has the right to be inwolved in the election of its directors, who are responsible for managing the company and achieving the company's objectives. True or false: Larry can invest in another company that is seling class A stocks to the public, and class B shares will be fetained by company insiders. This will help the founders maintain control in the company. False True Larry aiso holds 2,000 shares of common stock in a company that anly has 20,000 shares outstanding. The company's stock currently is valued at. $43.00 per share. The company needs to raise new capital to invest in production. The company is looking to issue 5,000 new shares at a price of $34.40 per share. Larry worries about the value of his investment. Lamy's current investment in the company is If the company issues new shares and Larry makes no additional purchase, Larry's investment will be worth This scenario is an example of Larry could be protectod if the firm's corporate charter includes a provision. If Larry exercises the provisions in the corporate charter to protect his stake, his investment value in the firm wil become \$34,40 per share, Larry worries about the value of his investment. Larry's current investment in the company is If the company issues new shares and Larry makes ni investment will be worth This scenario is an example of Larry could be protected if the firm's corporate charter includes a provision. If Lamy exercises the provisions in the corporate charter to protect his stake, his investment value in the firm will become Lamy also hoids 2,000 shares of common stock in a company that only has 20,000 shares outstanding. The company's stock currently is valued at $43.00 per share. The company needs to ralse new capital to invest in production. The company is looking to issue 5,000 new shares at a price of $34.40 per share. Larry worries about the value of his investment. Lamy current imvestment in the company is If the company issues new shares and Larry makes no add investment will be worth This scenario is an example of Larry could be protected if the firm's corporate charter includes a provision. If Lamy exercises the provisions in the corporate charter to protect his stake, his investment value in the firm will becorr. True investment will be worth This scenario is an example of Larry could be protected if the firm's corporate charter includes a If Larry exercises the provisions in the corporate charter to protect his stake, his investment value in the firm will become.

1. 1. Rights and privileges of common stockholders Lamy Nelson holds 1,000 shafes of General
Electric (GE) common stock. As a stockholder, he has the right to be inwolved in the election of
its directors, who are responsible for managing the company and achieving the company's
objectives. True or false: Larry can invest in another company that is seling class A stocks to the
public, and class B shares will be fetained by company insiders. This will help the founders
maintain control in the company. False True Larry aiso holds 2,000 shares of common stock in a
company that anly has 20,000 shares outstanding. The company's stock currently is valued at.
$43.00 per share. The company needs to raise new capital to invest in production. The company
is looking to issue 5,000 new shares at a price of $34.40 per share. Larry worries about the value
of his investment. Lamy's current investment in the company is If the company issues new shares
and Larry makes no additional purchase, Larry's investment will be worth This scenario is an
example of Larry could be protectod if the firm's corporate charter includes a provision. If Larry
exercises the provisions in the corporate charter to protect his stake, his investment value in the
firm wil become
$34,40 per share, Larry worries about the value of his investment. Larry's current investment in
the company is If the company issues new shares and Larry makes ni investment will be worth
This scenario is an example of Larry could be protected if the firm's corporate charter includes a
provision. If Lamy exercises the provisions in the corporate charter to protect his stake, his
investment value in the firm will become
Lamy also hoids 2,000 shares of common stock in a company that only has 20,000 shares
outstanding. The company's stock currently is valued at $43.00 per share. The company needs to
ralse new capital to invest in production. The company is looking to issue 5,000 new shares at a
price of $34.40 per share. Larry worries about the value of his investment. Lamy current
imvestment in the company is If the company issues new shares and Larry makes no add
investment will be worth This scenario is an example of Larry could be protected if the firm's
corporate charter includes a provision. If Lamy exercises the provisions in the corporate charter
to protect his stake, his investment value in the firm will becorr.

2. True investment will be worth This scenario is an example of Larry could be protected if the
firm's corporate charter includes a If Larry exercises the provisions in the corporate charter to
protect his stake, his investment value in the firm will become