Question

The type of preferred stock whose dividend payments are never paid to stock holders and are not considered in arrears is classified as

a.

non-participating preferred stock

b.

participating preferred stock

c.

non-cumulative preferred stock

d.

cumulative preferred stock

Answer: (c).non-cumulative preferred stock

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Q. The type of preferred stock whose dividend payments are never paid to stock holders and are not considered in arrears is classified as

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