What Is the Significance of the Name Preferred Stock

question 43

Multiple Choice

What is the significance of the name preferred stock?

• A) It is the type of stock that most investors would rather have.
• B) Its claims on dividends are paid before those of common stock.
• C) The overall return on preferred stock is higher than that on common stock.
• D) This stock is available only to select individuals associated with the company.
• E) This stock provides the most powerful voting rights.

---

Definitions:

HR Managers

Professionals responsible for overseeing human resources functions within organizations, including recruitment, training, and employee relations.

Precrisis Phase

The period before a crisis occurs, characterized by warning signs and an opportunity for organizations to take preventative measures and plan responses.

Crisis Communications

Strategic communication before, during, and after a crisis to manage and mitigate perceptions of the incident.

Emerging Trends

New developments, patterns, or preferences that are gaining popularity and shaping the future of a particular industry or societal behavior.