Question
The common stock of Fletcher Inc., is currently selling for $11 per share. In a week's time, the company will be holding a vote for
The common stock of Fletcher Inc., is currently selling for $11 per share. In a week's time, the company will be holding a vote for all 4 seats on its board of directors using cumulative voting. The firm has 1 million shares outstanding. Mr. Fletcher, the original owner of the company, currently owns 200,000 shares in the company. How much money must Mr. Fletcher spend in order to guarantee himself a seat on the board?
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