Which of the following investors typically are entitled to vote?

Prepare for the STC S7 Greenlight 2 Exam. Boost your score with flashcards and multiple-choice questions, each with hints and explanations. Get ready for success!

Common stockholders typically are entitled to vote, which is why this answer is correct. Voting rights are an essential aspect of owning common stock, as they allow shareholders to participate in key corporate governance decisions, such as electing the board of directors and approving major corporate actions. This engagement is important for providing shareholders with a voice in the management of the company and in shaping its future direction.

In contrast, preferred stockholders usually do not have voting rights, as their primary focus is on receiving fixed dividends and having priority over common stockholders in terms of asset distribution during liquidation. Bondholders, on the other hand, are creditors and do not own equity in the company, so they do not have voting rights or a say in corporate governance matters. The option that includes "all shareholders" inaccurately implies that both common and preferred stockholders, along with bondholders, share the same voting entitlements, which is not the case.

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