The right to maintain​ one's proportionate ownership in the corporation is the right of preemption .

Complete each of the following statements with one of the terms listed here.

Board of directors	Charter	Common stock
Corporation	Legal capital	Limited liability
Liquidation	Par value	Preemption
Preferred stock	Retained earnings	Stockholders' equity

a.	The right to maintain​ one's proportionate ownership in the corporation is the right of preemption .

b.	The right to receive a proportionate share of any assets remaining after the corporation goes out of​ business, sells its​ assets, and pays off its liabilities is the right of liquidation .

c.	The​ stockholders' ownership interest in the assets of the corporation is called stockholders' equity .

d.	Limited liability is the legal concept that means stockholders can lose no more than the cost of their investment in the company.

e.	The authorization from the state to issue a certain number of shares of stock is granted through the​ corporation's charter .

f.	The arbitrary amount assigned to each share of stock when it is originally authorized is its par value .

g.	Preferred stock is a hybrid form of capital stock resembling both equity and debt that pays a fixed dividend.

h.	Common stock is the basic form of capital stock.

i.	The board of directors is elected by stockholders.

j.	The business entity formed under state law that has a separate legal identity from its owners is a corporation .

k.	The total of the par value of all of the shares issued is the​ corporation's legal capital .

l.	Retained earnings represents the amount of​ stockholders' equity that the corporation has earned through profitable operations less any dividends declared.