Question

Vincento buys 500 shares of common stock in water reclamation services, inc. as a shareholder of record, vincento owns a proportionate interest in terms of

Answer 1

Vincento owns a proportionate interest in terms of control, earnings and net assets. Common stocks are ordinary shares of a company and individuals holding this type of share has the right to the control of the company based on the number of share bought, they are also entitled to part of the profits make by the company. In case the company liquidates, ordinary share holders are entitled to payment as  creditors.