last year, jack stop car wash paid the $10 million it needed to according to the...

last year, jack stop car wash paid the $10 million it needed to according to the dividend rate for preferrred owner. This year, jack stop's profits are forecast to increase. preferred owners will recieve more dividends (given the same dividend rate_ true or false?

Expert Solution

The answer is False

The Preferred shareholders are the shareholders which gets fixed rate of dividends according to the dividend rate, they doesn't carry voting rights and are not actively engaged in the Management, The Common shareholders (Equity shareholder) are considered the owners of the company and the earning of the company belongs to them.

jeff jeffy answered 2 years ago

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last year, jack stop car wash paid the $10 million it needed to according to the...

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