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Preferred Stock
A class of ownership in a corporation that has a higher claim on assets and earnings than common stock, usually with dividends that are paid out before those of common shareholders.
Common Stock
Shares representing ownership in a corporation, giving holders voting rights and a claim on a portion of the company’s profits through dividends.
Dividend
a distribution of a portion of a company's earnings to its shareholders, usually in cash or additional shares.
Convertible Preferred Stock
Preferred stock that gives the owner the option of converting those preferred shares into a stated number of common shares.
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