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which of the following is Not true about preferred stock? 70% of dividends are nontaxable to other corporations that hold preferred stock the after-tax cost

which of the following is Not true about preferred stock?

70% of dividends are nontaxable to other corporations that hold preferred stock

the after-tax cost is higher than debt with the same yield

dividends are legal obligations of the firm

preferred stocks are typically cumulative with respect to dividends

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