1725. Preferred stocks are also classified as

intrinsic preference
perpetuities
extrinsic preference
weak preference
✅ The correct answer is B.
Preferred stocks are also classified as perpetuities. Perpetuity refers to an infinite amount of time. In finance, perpetuity is a constant stream of identical cash flows with no end.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top