What Is the Significance of the Name Preferred Stock

Multiple Choice

What is the significance of the name preferred stock?

A) It is the type of stock that most investors would rather have.
B) Its claims on dividends are paid before those of common stock.
C) The overall return on preferred stock is higher than that on common stock.
D) This stock is available only to select individuals associated with the company.
E) This stock provides the most powerful voting rights.