Which Is TRUE Concerning Preferred Stock

question 73

Multiple Choice

Which is TRUE concerning preferred stock?

• A) Preferred stock is considered debt on the company balance sheet.
• B) Preferred stock holders have voting rights for the company board of directors.
• C) Preferred stock payments are variable like common stock.
• D) Preferred stock is viewed as less risky than a firm's common stock.

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Definitions:

Haploid

Having one of each type of chromosome characteristic of the species.

Diploid

Referring to a cell that contains two complete sets of chromosomes, one from each parent, typical of the body's somatic cells.

Zygote

A zygote is the initial cell formed when a new organism is produced by sexual reproduction, following the fusion of male and female gametes.

Fetus

Developing human from about 9 weeks until birth.