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AFP CTP Question # 262 Topic 27 Discussion

CTP Exam Topic 27 Question 262 Discussion:
Question #: 262
Topic #: 27

All of the following statements are true about adjustable-rate preferred stocks EXCEPT:


A.

they offer tax advantages to corporate investors.


B.

they have a guaranteed return of principal at maturity.


C.

their dividends are paid before common stock dividends.


D.

their dividend rate is reset periodically.


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