Which is the true statement concerning preference shares?

Question

Quizplus · Accepted Answer

Preference shares are typically issued with a fixed dividend rate, which means they receive a set amount of dividend payments before any dividends are paid to ordinary shareholders. B is incorrect as voting rights are not always attached to preference shares. C is incorrect as preference shares can be listed on the stock exchange. D is incorrect as preference shareholders typically have lower risk than ordinary shareholders due to their priority in receiving dividends and in the event of liquidation.

Which Is the True Statement Concerning Preference Shares