The Following Statements Are All True EXCEPT

The following statements are all true EXCEPT:

A) dividends are paid from net income.
B) dividends represent a use of cash and do not have to be paid if a firm has a net loss.
C) dividends are paid to a firm's stockholders,both preferred and common stockholders,are tax-deductible to the paying company.
D) preferred stockholders,who are primarily investors seeking current income,usually receive dividends.