Respuesta :

True, Shareholders exercise ownership control through the power of their votes.

What is Shareholder Ownership ?

Common shareholders are part of the owners of a corporation, they have bought some shares or stocks of the corporation either through public offerings or the the Stock markets.

As part of the owners of a corporation, common stock holders have certain rights except otherwise stated in the agreement.

  1. The right to vote during the general meeting to decide how the leadership of the corporation will be.
  2. The right to share in the profits of the corporation.
  3. Common shareholders are notified before issuance of new stock.
  4. They have some degree of control over the management selection process etc.

A corporation is owned by it's shareholders as a group. Each shareholder holds a proportion of the share capital of a corporate and has voting rights in proportion of his shareholdings.

Therefore , we can conclude that the statement is TRUE.

Learn more about Shareholder Ownership on:

brainly.com/question/1422887

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