Entrepreneurship and Small Business (ESB) Certification Practice Exam

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Prepare for the Entrepreneurship and Small Business Certification Exam with engaging quizzes. Use flashcards and multiple choice questions, each with detailed hints and explanations. Enhance your entrepreneurial skills and ace your exam!

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Who owns stock in the company?

Stakeholder
CEO
CFO
Stockholder

The correct answer is: Stockholder

The correct answer is that stockholders own stock in the company. Stockholders, also known as shareholders, possess shares of the company's stock, which represents their ownership stake in the business. The more shares a stockholder owns, the greater their percentage of ownership in the company, which can also correspond to a share in the profits through dividends and voting rights in corporate decisions. While stakeholders include anyone with an interest in the company, such as employees, suppliers, and the community, not all stakeholders hold stock. The CEO and CFO are specific roles within the company and, while they may also be stockholders if they own shares, their primary definitions relate to their responsibilities in managing the company and its finances, respectively. Therefore, the distinct ownership characteristic clearly identifies stockholders as the correct answer.