The maturity of an issue of preferred stock is:
A)the same as the longest maturity bond issued by the firm.
B)variable between 15 and 30 years.
C)indefinite,just as the maturity of common shares.
D)renewable every five years.

Question

Quizplus · Accepted Answer

Preferred stock does not have a specific maturity date, unlike bonds. Its duration is often perpetual, or it can have a stated maturity date that is far in the future.

The Maturity of an Issue of Preferred Stock Is