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Which of the following is a reason that a company might choose to issue preferred stock instead of common stock or bonds? The money raised
Which of the following is a reason that a company might choose to issue preferred stock instead of common stock or bonds?
The money raised from the sale of preferred stock will increase earnings per share.
Selling common stock would increase the number of shares and reduce the percentage ownership of the existing stockholders.
The company doesnt want to pay interest to shareholders.
The company wants to pay lower dividends.
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