Callable Preferred Stock Is Preferred Stock That May Be Redeemed

question 58

True/False

Callable preferred stock is preferred stock that may be redeemed or retired at the option of the stockholder.

---

Definitions:

Price-Elasticity

A measure of how much the quantity demanded of a good responds to a change in the price of that good, expressed as a percentage.

Perfectly Inelastic

A situation where the quantity demanded or supplied does not change in response to a price change.

Price Elasticity

A measure of how much the quantity demanded of a good responds to a change in its price, with high elasticity indicating sensitivity to price changes.