Why is a preferred stock similar to a long-term bond? Why is it similar to common stock?

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Intermediate Accounting

ISBN: 978-0324300987

10th Edition

Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones

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Question Posted: Mar 12, 2012 04:17 AM

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Why is a preferred stock similar to a long-term bond? Why is it similar to common stock?

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A preferred stock is similar to a longterm bond because the preferred dividend payments are often fi...View the full answer

Intermediate Accounting

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