7. Preferred stock Preferred stock is often called a hybrid security because it has some characteristics...

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7. Preferred stock Preferred stock is often called a hybrid security because it has some characteristics that are typical of

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Answer 1

Answer #1

Answer 1)

Debts have sinking Fund

Common Stock have no Specified Maturity Date

Debt usually don't have voting rights

Answer2)

In A Call Option the co has the right to buy back its preferred shares from shareholders with a premium usually.

Answer 3)

Debt, because interest payments are tax deductible

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Answer 2

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