Question
(The financial marketplace: Securities Markets)Preferred stock is an equity security that has seniority rights.(Select all that apply.) A. Preferred stock has voting rights, which supercede
(The financial marketplace: Securities Markets)Preferred stock is an equity security that has seniority rights.(Select all that apply.)
A.
Preferred stock has voting rights, which supercede the voting rights of common stockholders.
B.
Preferred stock is sometimes referred to as a hybrid security.
C.
Preferred stock dividends, which are unpaid due to a lack of profits may accrue to be paid later when the corporation returns to profitability.
D.
During the liquidation of a company, holders of preferred stock would have a claim on assets before any claims by common stock shareholders.
E.
Owners of preferred stock receive their dividends before dividends are distributed to common stock shareholders.
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