Wisconsin Nursing Home Administrators (NHA) Practice Exam

Disable ads (and more) with a membership for a one time $2.99 payment

Prepare for the Wisconsin Nursing Home Administrators (NHA) Exam with comprehensive flashcards and multiple-choice questions. Each question is accompanied by hints and explanations to aid your study. Get ready to excel on your exam!

Start Multiple Choice Practice Test
Start Flash Cards

Practice this question and more.

What is a "principal stockholder" of a corporation?

  1. A shareholder with more than 50% equity

  2. A person who manages company operations

  3. A person who beneficially owns, holds, or has the power to vote, 10% or more of any class of securities issued by the corporation

  4. The CEO of the corporation

The correct answer is: A shareholder with more than 50% equity

A "principal stockholder" of a corporation refers to a shareholder who owns more than 50% of the company's equity. This means they have the majority ownership and control of the company's stock. Option B is incorrect because a principal stockholder does not necessarily manage company operations, they only have a significant ownership stake. Option C is incorrect because it refers to a person who has more than 10% ownership, but not necessarily the majority stake. Option D is also incorrect because the CEO may or may not be a principal stockholder, as it depends on their ownership stake in the company.

More Questions Like This