As a Preferred Stockholder, You Are Entitled to Numerous Preferences

Multiple Choice

As a preferred stockholder, you are entitled to numerous preferences and privileges over common stockholders. If you are a preferred stockholder of a company that has fallen on economic hardship and is likely to go bankrupt, which preference or privilege of preferred stock is going to be most useful to you?

A) Dividend preference
B) Liquidation preference
C) Conversion privileges
D) Participation privilege