Identify whether the key characteristic describes common stock (CS) or preferred stock (PS).

_____ 1. Source of financing which places minimum constraints on the firm.

_____ 2. Used often in mergers.

_____ 3. Potential dilution of earnings and voting power.

_____ 4. Fixed financial obligation.

_____ 5. Increases the firm's borrowing power.

_____ 6. May have cumulative and participating features.

_____ 7. May be convertible into another type of security.

_____ 8. Last to receive earnings or distribution of assets in the event of bankruptcy.

_____ 9. Frequently includes a call feature