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The Typical Rights of Preferred Shares Usually Include

Question 73

Multiple Choice

The typical rights of preferred shares usually include:


A) the right to vote.
B) a preference to a predesignated amount of dividends, that is, a stated dollar amount per share or percent of par per share.
C) a preference over common shareholders and lenders in the distribution of assets in the event the corporation is dissolved.
D) the "preemptive right" to maintain one's percentage share of ownership when new shares are issued.

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