45. Which of the following statements is most correct?

a. From the issuing corporations perspective, preferred stock is more risky than bonds.

b. From the investors perspective, preferred stock is less risky than bonds.

c. Issuing preferred stock allows corporations to reduce their tax burden, since preferred stock dividends are deductible.

d. If a preferred issue is cumulative this means that the issuing company is permitted to pay dividends on its common stock even if it failed to pay the dividend on its preferred stock.

e. Most nonconvertible preferred stock is owned by corporations.