Characteristics of Common Stock and Preferred Stock Which one of the following statements is true regarding common stock and preferred stock?

a. Preferred stockholders always have the right to vote in corporate matters.

b. Common stockholders are the residual owners of the business after all other obligations have been paid.

c. Preferred stock is better than common stock.

d. Common stockholders receive dividends before preferred stockholders.

e. Preferred stock can never be converted into common stock.