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Preferred stock dividends: have priority over debt interest payments but not over common stock dividends. are a tax - deductible business expense. become a debt
Preferred stock dividends:
have priority over debt interest payments but not over common stock dividends.
are a taxdeductible business expense.
become a debt of the firm if unpaid.
are paid only if common stock dividends are also paid.
can be deferred indefinitely.
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