In liquidation,shareholders must wait until creditors are paid; as well,preferred equity precedes common equity.

Name: In liquidation,shareholders must wait until creditors are paid; as well,preferred equity precedes common equity.
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In liquidation, creditors are paid first, then preferred equity holders, and finally common equity holders. Shareholders must wait until creditors and preferred equity holders have been paid before any remaining funds are distributed to common equity holders.

In Liquidation,shareholders Must Wait Until Creditors Are Paid; as Well,preferred