Which one of the following types of stock is defined by the fact that it receives no preferential treatment in respect to either dividends or bankruptcy proceedings?
A)dual class
B)cumulative
C)non-cumulative
D)preferred
E)common

Question

Quizplus · Accepted Answer

Common stock receives no preferential treatment in respect to either dividends or bankruptcy proceedings. Dual class stock has different classes with different voting rights, cumulative preferred stock has a provision that requires any missed dividends to be paid in the future, non-cumulative preferred stock does not have that provision, and preferred stock generally receives preferential treatment in respect to dividends and bankruptcy proceedings.

Which One of the Following Types of Stock Is Defined