What right does a shareholder have regarding the financial statements of a corporation?

Shareholders have a right to approve the financial statements of a corporation, which is a fundamental aspect of corporate governance. This right is integral to ensuring transparency and accountability within the corporation. Shareholders typically receive the financial statements during annual meetings or through formal reporting, allowing them to assess the company's performance, financial health, and business strategies. While shareholders do not directly prepare or amend these statements, their approval is crucial before finalizing them, as it reflects their endorsement of the financial reporting and the management's operations during the fiscal period. This mechanism is in place to protect shareholders and facilitate informed decision-making.

The other options mentioned relate to capabilities or rights that do not generally rest with shareholders. For instance, shareholders do not engage in the preparation of financial statements, as this task falls under the purview of the corporation's management and accounting team. Similarly, amending the financial statements is typically a decision made by management and the board of directors rather than the shareholders. Finally, withholding approval of the financial statements is usually not a recognized right in itself since approval is a measure of endorsement, not a means of obstruction.