1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Lena [83]
3 years ago
11

Preferred stock is like long-term debt in that ___________. A. it promises to pay to its holder a fixed stream of income each ye

ar B. it gives the holder voting power regarding the firm's management C. the preferred dividend is a tax-deductible expense for the firm D. in the event of bankruptcy preferred stock has equal status with debt
Business
1 answer:
AlekseyPX3 years ago
5 0

Answer:

A. it promises to pay to its holder a fixed stream of income each year.

Explanation:

In Business, stock can be defined as having an equity or ownership by an individual in an organization. Generally, stocks are of two (2) types and these are;

1. Common stock.

2. Preferred stock.

Preferred stock refers to the securities which represents an individual's ownership or share in an organization and having a fixed claim over common stocks in earnings and assets.

Also, the preferred stock pay a fixed amount of interest regularly rather than being paid as a dividend only.

Hence, preferred stock is like long-term debt in that it promises to pay to its holder a fixed stream of income each year. This simply means that, the preferred stockholders are given more priority than the holders of common stocks. Therefore, in the event of liquidation of a firm the preferred stockholder can claim the assets belonging to a the firm.

There are four (4) types of preferred stocks and these are;

1. Perpetual preferred stock.

2. Exchangeable preferred stock.

3. Convertible preferred stock.

4. Cumulative preferred stock.

You might be interested in
ReNaPro Inc., a multinational marketing agency, offers a curriculum in health education for its employees. It provides health pr
Dimas [21]

Answer:

engaged in health promotion at the highest level of organizational commitment

Explanation:

As it is mentioned in the question that ReNaPro Inc i.e is a multinational marketing agency that provided its employees a health educational program. In addition, it also regularly offers health promotions and offered incentives.

So here ReNaPro engaged in the promotion of health for the highest level of organisational commitment

6 0
3 years ago
According to the Ajzen model, the strongest predictor of an employee’s behavior is (are):
Ghella [55]
There you go. let me know if this is right

4 0
3 years ago
What primary risk are business owners taking when selling shares of their companies?
4vir4ik [10]

answer:

giving away a percentage of their company and maybe losing their power as only one leader.

explanation:

  • this question was already answered
  • credits: brainly.com/question/1957314

5 0
3 years ago
NEED HELP ASAP!!
Virty [35]
The answer for this statement is TRUE
3 0
3 years ago
Read 2 more answers
Larry, the sole shareholder of Brown Corporation, sold his Brown stock to Ed on July 30 for $270,000. Larry's basis in the stock
Mrac [35]

Answer:

$180,000

Explanation:

Given that

Current E & P = $240,000

Distribution to Larry = $450,000

The computation of current E & P is allocated to Larry's distribution is shown below:-

Current E & P is allocated to Larry's distribution = (Current E & P × Distribution to Larry) ÷ Total distribution

= ($240,000 × $450,000) ÷ $600,000

= $108,000,000  ÷ $600,000

= $180,000

3 0
3 years ago
Other questions:
  • The Widget Co. purchased all of its fixed assets three years ago for $6 million. These assets can be sold today for $3 million.
    6·1 answer
  • Which of the following tells you how much your credit card interest will be if you only pay the minimum balance each month
    14·2 answers
  • Suppose the following data were taken from the 2022 and 2021 financial statements of American Eagle Outfitters. (All numbers, in
    13·1 answer
  • Rankin Corp. common stock is priced at $74.20 per share. The company just paid its $1.10 quarterly dividend. Interest rates are
    7·1 answer
  • You consider purchasing a new computing system, including networking, for your sales force for $112,000. The system has a 6-year
    11·1 answer
  • During the current year, Haft Co. became involved in a tax dispute with the IRS. At December 31, Haft’s tax advisor believed tha
    7·1 answer
  • A job was budgeted to require 3 hours of labor per unit at $8.00 per hour. the job consisted of 8,000 units and was completed in
    8·2 answers
  • What are the current asset financing strategies that firms adopt? Suppose a firm wants to take advantage of an upward-sloping yi
    8·1 answer
  • Alex
    9·1 answer
  • For price discrimination via coupons to be successful, it must be TRUE that:
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!