The type of preferred stock whose payments are missed and must be paid before paying dividends of common stock is classified as Options: A . &nbspnon participating preferred stock B . &nbspparticipating preferred stock C . &nbspnon-cumulative preferred stock D . &nbspcumulative preferred stock

The type of preferred stock whose payments are missed and must be paid before pa

Question

The type of preferred stock whose payments are missed and must be paid before paying dividends of common stock is classified as

Options:

A . non participating preferred stock

B . participating preferred stock

C . non-cumulative preferred stock

D . cumulative preferred stock

Answer: Option D
Answer: (d).cumulative preferred stock

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