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All of the Following Are Characteristics of Preferred Stock EXCEPT

Question 65

Multiple Choice

All of the following are characteristics of preferred stock EXCEPT


A) it has less restrictive covenants than debt.
B) it is often considered quasi debt due to fixed payment obligation.
C) it gives the holder voting rights which permit selection of the firm's directors.
D) its holders have priority over common stockholders in the liquidation of assets.

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