ABC Inc. issued common and preferred stock. Earl owns 60,000 shares of ABC common stock and Antonio owns the remaining 40,000 shares of common stock. Trisha owns 200,000 shares of ABC preferred stock, which has typical rights and preferences. At its annual meeting, the shareholders are to elect a board of directors comprised of three directors. The articles of incorporation require cumulative voting for electing the BOD. Each shareholder has three candidates that he or she would like to be elected to the BOD.
a. Who is entitled to vote?
b. How many directors can Earl, Antonio and Trisha elect?
c. Could Earl authorize Ann, a third party, to vote his shares? If so, how would he do this?
Instructions:
Your typed response should be no longer than one (1) page, 1 and 1to2 line spaced with 1 and 1to 4 inch margins on each side, including top and bottom.
Answer all parts of the question and indicate by numbering as in the question.
Whenever possible refer to the specific sections of the any applicable uniform code (UPA, RUPA, etc.) that apply to your answer.
Your complete answer should include a detailed explanation for a yes or a no response to any question of part of a question.