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Larry Nelson holds 1,000 shares of General Electric's (GE) common stock. The annual stockholder meeting is being held soon, but as a minor shareholder, Larry
Larry Nelson holds 1,000 shares of General Electric's (GE) common stock. The annual stockholder meeting is being held soon, but as a minor shareholder, Larry doesn't plan to attend. Larry did not sell his shares but gave his voting rights to the management group running General Electric (GE). Larry must have signed a _______ that gives the management group control over his shares. Larry also holds 2,000 shares of common stock in a company that only has 20,000 shares outstanding. The company's stock currently is valued at $45.00 per share. The company needs to raise new capital to invest in production. The company is looking to issue 5,000 new shares at a price of $36.00 per share. Larry worries about the value of his investment. Larry's current investment in the company is _____. If the company issues new shares and Larry makes no additional purchase, Larry's investment will be worth_____. This scenario is an example of ______. Larry could be protected if the firm's corporate charter includes a ______ provision. If Larry exercises the provisions in the corporate charter to protect his stake, his investment value in the firm will become ____
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