Explain why preferred stock is considered to be a hybrid of equity and debt securities.

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Fundamentals of corporate finance

ISBN: 978-0470876442

2nd Edition

Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates

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Question Posted: Jun 08, 2012 01:35 AM

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Explain why preferred stock is considered to be a hybrid of equity and debt securities.

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The law considers preferred stock as equity Thus holders are treated as th...View the full answer

Fundamentals of corporate finance

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