Regarding the Tax Treatment of Payments to Securities Holders; It

Regarding the tax treatment of payments to securities holders; it is true that ____________ , while___________.

A) common stock dividends and preferred stock dividends are tax-deductible; interest is not tax deductible
B) interest and preferred stock dividends are not tax-deductible; common stock dividends are tax deductible
C) common stock dividends and preferred stock dividends are not tax-deductible; interest is tax deductible
D) interest and preferred stock dividends are tax-deductible; common stock dividends are not tax deductible