What is preferred stock

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Preferred stock is not a common source of financing for most firms. However, it should be ignored as a potential source of capital. Spend some time researching (the Harrison LRC is a great resource) preferred stock and then answer the following questions.

  • What is preferred stock and why is it beneficial to corporations?
  • What are the disadvantages of issuing preferred stock from the companyAcs perspective?
  • List a few firms that use preferred stock in their capital structure?

Reference no: EM131015405

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