Suppose a firm has 15 million shares of common stock outstanding and six candidates are up for election to five seats on the board of directors a If the firm uses cumulative voting to elect its board, what is the minimum number of votes needed to ensure election to the board b If the firm uses stra...

a With cumulative voting the total number of votes available is 75000000 15 million shares outstandi ...

Suppose a firm has 15 million shares of common stock outstanding and six candidates are up for

Question:

Suppose a firm has 15 million shares of outstanding and six candidates are up for election to five seats on the board of directors.
a. If the firm uses to elect its board, what is the minimum number of votes needed to ensure election to the board?
b. If the firm uses straight voting to elect its board, what is the minimum number of votes needed to ensure election to the board?

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Cumulative Voting
Cumulative voting is the procedure followed when electing a company's directors. Typically, each shareholder is entitled to one vote per share multiplied by the number of directors to be elected. This is a process sometimes known as proportional...