Common Stock is...

• A. Non-voting units of ownership.
• B. Bonds that mature at a fixed date.
• C. Shares representing ownership in a corporation with voting rights.
• D. Shares that pay fixed dividends and have priority over common stock in profits.

Answer: (C)

Common stock represents ownership in a company and typically includes voting rights on corporate matters like electing the board. This makes it the best fit because it captures both ownership and the ability to influence decisions. Dividends from common stock aren’t guaranteed and depend on company performance, and in liquidation, common shareholders are paid after debts and any preferred claims. The other descriptions refer to different securities: bonds are debt with a fixed maturity, and preferred stock pays fixed dividends and has priority over common stock in profits and liquidation but usually lacks voting rights.