Which of the statements below is FALSE?
A)It is common for companies to issue preferred stock with the right to convert to common shares after a specific waiting period.
B)Preferred stock does not have a maturity date.
C)Preferred stock cannot be converted into common stock.
D)Preferred shareholders' dividend claims take precedence over common shareholders' dividend claims.

Question

Quizplus · Accepted Answer

This statement is false. Preferred stock can be converted into common stock.

Which of the Statements Below Is FALSE