Question

The type of preferred stock in which the dividend does not increase or decrease with the increase or decrease in profit of firm is classified as

a.

non-cumulative preferred stock

b.

cumulative preferred stock

c.

non-participating preferred stock

d.

participating preferred stock

Answer: (c).non-participating preferred stock

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Q. The type of preferred stock in which the dividend does not increase or decrease with the increase or decrease in profit of firm is classified as

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