Question: A major difference between common and preferred stock is: A In the event of an issuer's liquidation, preferred stockholders have a higher claim on an
A major difference between common and preferred stock is:
A
In the event of an issuer's liquidation, preferred stockholders have a higher claim on an issuer's assets than common stockholders
Common stock is traded on the secondary market, while preferred stock is only traded on the primary market
Preferred stockholders always receive dividends, while common stockholders sometimes do not receive dividends
Only company insiders can own preferred stock, whereas any investor can own common stock
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