3. Resources/Finance/Stocks/Board of Directors are responsible for issuing new shares in a corporation
if they do ever need to raise additional funds
but it REDUCES the PERCENTAGE VALUE by existing shareholders
Example:
Company A: 100 shares
Investor: Owns 10 shares, he owns 10% of the company
Company A: issues +200 shares, in total it now has 300 shares
Investor: He now owns 3.33% of the company
Formula: (10 shares /300 total shares) * 100 percentage = 3.33%
