Use the following statements to answer this question:
A) I and II are correct.
B) I and II are incorrect.
C) I is correct and II is incorrect.
D) I is incorrect and II is correct.
I.A retractable preferred share can be sold back to the issuer.
II.Preferred shares provide a benefit for taxes given that dividend income receives preferential tax treatment as compared to interest income.

Question

Quizplus · Accepted Answer

Both statements are correct. Retractable preferred shares can be sold back to the issuer and preferred shares do provide tax benefits as compared to interest income.

Use the Following Statements to Answer This Question