Mike Lively is thinking about buying an investment that represents an ownership claim on a company.The most important priority he has with this investment is receiving his dividends before dividends are paid on other types of investments.What investment is Mike thinking about purchasing?
A)Common stock
B)Preferred stock
C)Corporate bond
D)Option
E)Mutual fund

Question

Quizplus · Accepted Answer

Preferred stock typically provides dividends before common stock and does not involve the fixed payments of bonds or the characteristics of options or mutual funds.

Mike Lively Is Thinking About Buying an Investment That Represents