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