Question: Preferred stock is sometimes regarded like a debt security because a . preferred stock holders receive a residual value and not a stated value. b

Preferred stock is sometimes regarded like a debt security because
a. preferred stock holders receive a residual value and not a stated value.
b. preferred dividends are deductable from taxable income just like interest payments on bonds.
c. preferred dividend payments like bond interest payments are fixed amounts regardless of the firms earnings.
d. legally preferred stock is a debt security.

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