__________ represents the most basic form of company ownership and includes voting rights and dividends, if and when the firm elects to pay dividends.

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02-01-2020
Business

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__________ represents the most basic form of company ownership and includes voting rights and dividends, if and when the firm elects to pay dividends.

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ahmedgodtrust ahmedgodtrust · Answer 1 · 2020-01-04T23:02:41+01:00

Answer:

Common stock represents the most basic form of a company's ownership and includes voting rights and dividends, if and when a firm elects to pay dividend

Explanation:

Common stock is a form of a company's ownership because common stockholders are legal owners of a company. They have voting rights but their dividends may not be paid. They are entitled to residual profit after the company has settled the claims of bond holders and preferred stockholders. They bear the highest risk in the event of liquidation of a company.