Multiple Choice
Which of the following is true with regard to preferred stock?
A) Dividends must be paid each year on preferred stock.
B) The growth potential of preferred stock is limited due to its fixed dividend.
C) Preferred stock is more risky than common stock.
D) The usual par value of a preferred share is $1.
E) It cannot be callable.
Correct Answer:

Verified
Correct Answer:
Verified
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