A firm has two classes of common stock outstanding: Class A, which carries voting ritghts of 10
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Question:
A firm has two classes of common stock outstanding: Class A, which carries voting ritghts of 10 votes per share but receives no dividends (ever), and Class B, which carries voting rights of 1 vote per share and pays dividends whenever they are declared by the board. Which would you be willing to pay more for and why?
Related Book For
Fundamentals of Investing
ISBN: 978-0133075359
12th edition
Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk
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