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  3. the preemptive right is designed to select one: a.

The preemptive right is designed to Select one: a. allow management to diffuse stock...

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Question

Finance

The preemptive right is designed to

Select one:

a.

allow management to diffuse stock ownership any voting power.

b.

allow managers to preempt a stock offering if they do not like the terms of the deal.

c.

allow existing shareholders to buy more shares from the market if they desire.

d.

allow existing shareholders the right to sell their existing shares before the new offer.

e.

None of these choices are correct.

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