Question 9: Signify TRUE or FALSE as applicable for each of the following items as they pertain to the different classes of stock.

a. Common stock has no automatic right to dividends

[ Choose ] False True

b. Claims of common stockholders on assets of the corporation upon liquidation are lower in priority than the claims of creditors and preferred stockholders.

[ Choose ] False True

c. Preferred stockholders are entitled to receive dividends before common stockholders

[ Choose ] False True

d. Claims of preferred stockholders on assets of the corporation upon liquidation take priority over the claims of creditors and common stockholders.

[ Choose ] False True

e. Treasury stock has no voting rights.

[ Choose ] False True