Fact Pattern 21-1 In 2005, Bettina Opened Bettina Brownies in a Shopping Mall

Fact Pattern 21-1
In 2005, Bettina opened Bettina Brownies in a shopping mall. The brownies were a hit and soon Bettina was operating shops in several malls in Illinois. By 2012 she had expanded operations to Indiana and she decided that it was time to finance expansion through the equity markets. With an investment banker, she prepared for the initial offering of Bettina Brownies. She sold 50,000 shares of stock at $10 a share.
Expansion continued. Keebler determined that Bettina was a well-run company with an attractive financial position. It began secret negotiations with Bettina to buy her interest in the business. News of the negotiations leaked. Mr. Little, CEO of Keebler, denied that they were pursuing a deal with Bettina. A month later Bettina sold her share of the business to Keebler.
Shortly before Bettina sold her interest to Keebler, Joe Kelso, a carpet cleaner was working at Bettina office when he overheard discussion of the sale to Keebler. Joe bought a large number of shares in Bettina. After the Keebler sale was completed, Joe sold his stock for a substantial profit.
-Refer to Fact Pattern 21-1. Bettina chose to seek financing by a sale of stock. Which of the following statements about stock is true?

A) each person who bought a share of Bettina now has an ownership interest in the company
B) each share of Bettina's represents a proportional right to the past profits of the company
C) each share of stock will specify what repayment method it will use
D) Bettina is under a legal obligation to the stockholders to make an exceptional effort to make a profit
E) Bettina must repay each stockholder in future dividends at least an amount of money equal to what they spent for shares

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