Because preferred stock is not equity, it is included among the liabilities of a business.

Name: Because preferred stock is not equity, it is included among the liabilities of a business.
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Preferred stock is actually a type of equity, not a liability. It represents ownership in the company and typically pays a fixed dividend. While there are some characteristics of preferred stock that resemble debt, such as its fixed dividend payments, it is still considered equity on a company's balance sheet.

Because Preferred Stock Is Not Equity, It Is Included Among