Register now or log in to join your professional community.
a. Treasury stock is an indication that a company is failing
b. Treasury stock has no voting or dividend rights
c. Treasury stock is looked negatively upon by the investment community
d. Treasury stock can be resold to employees at a discount
b- treasury stock (treasury shares) is the portion of shares that a company keeps in their own treasury. Treasury stock may have come from a repurchase or buyback from shareholders; or it may have never been issued to the public in the first place. These shares don't pay dividends, have no voting rights, and should not be included in shares outstanding calculations.
The answer is b - Treasury stock is held by the corporation and has no voting rights at all untill reissued
Treasury stock results from the buyback of own shares of the company. Trading stock on the other hand is investment held for sale, mostly for the income earning motive and as a part of management of excess cash of the company. Where as treasury stock may sometime changes the shareholding structure and does not result in increase or decrease of the company's income directly.
Therefore, all statements from a to d you have given are true.
The Forex market stands as the world's largest financial market, with trillions of dollars exchanged daily. Its decentralized structure allows for electronic over-the-counter trading, offering participants the freedom to trade from anywhere globally, hours a day, excluding weekends. Before entering this market, it's advisable to refer to an FBS broker review for valuable insights read more. I believe this information could prove beneficial to you!
