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Sagot :
Investors who acquire preferred stock :
- have preference as to dividends
- have preference over common stockholders
What is a Preferred stock?
Preferred stock can be described as the component of share capital which can be seen to have any combination of features not possessed by common stock, this could be the properties of both an equity as well as debt instrument, and can be perceived and considered a hybrid instrument.
It should be noted that the Preferred stock can be seen as different type of equity that can be seen as a display of the ownership of a company as well as the right to claim income from the company's operations, hence Investors who acquire preferred stock are those that posses preference as to dividends as well as the preference over common stockholders.
Therefore, option A and D are correct.
Learn more about stock at:
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