Q41
If a preferred stock issue is cumulative, this means____________.
A.
dividends are paid at the end of the year
B.
dividends is legally binding on the corporation
C.
unpaid dividends will be paid in the future
AnswerD.
unpaid dividends are never repaid
Answer: Option C
Solution
Answer: Option C
Solution:
If a preferred stock issue is cumulative, this means unpaid dividends will be paid in the future.