Which of the following statements about common stock is incorrect? Both C and D look incorrect. Please explain.

a. Stockholders exercise control over the company by voting for board members.

b. Common stockholders are the owners of for-profit corporations.

c. The claim of shareholders on the cash flows of the firm is limited to the dividends they receive (i.e., they have no claim on a business's residual earnings).

d. In the event of bankruptcy and liquidation, shareholders often receive none of the proceeds.