Which of the Following Is Not Correct Regarding Preferred Stock

question 9

Multiple Choice

Which of the following is not correct regarding preferred stock?

• A) Preferred stocks are considered to be safer investments than common stocks.
• B) Owners of preferred stock have first claim to a corporation's assets after creditors in a bankruptcy.
• C) Owners of preferred stock receive cash dividends before common stockholders receive their dividends.
• D) The dollar amount of the dividend on preferred stock is known before the stock is purchased.
• E) The yield on preferred stocks is often lower than the yield on corporate bonds.

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Definitions:

Self-efficacy

Someone's faith in their power to finish tasks and fulfill goals.

Self-esteem

An individual's overall subjective evaluation of their own worth or value.

General Belief

A widely held opinion or conviction that isn't specific to individuals but shared by a group or society.

Behave Differently

The alteration in an individual's actions or reactions in various situations or under different circumstances.