Which of the Following Is False Regarding Bank Preferred Stock

Multiple Choice

Which of the following is false regarding bank preferred stock?

A) Preferred stock investor claims are senior to those of common stockholders.
B) All preferred stock investors pay taxes on only 20% of dividends.
C) Most preferred stock issues are adjustable-rate perpetual stock.
D) Preferred stock has the same disadvantages as common stock.
E) None of the statements is false.