Chapter 13, Problem 9E

To determine

Concept Introduction:

Preferred Stock:

Preferred Stock is stock who is given first priority for payments of dividends and also who are paid off before Equity shareholders in event of wind up. Preference shareholders also enjoy fixed income unlike equity shareholders..

To Match:

Each Description with the characteristics of preferred stock that it best describes.

Given Info:

________1. Received current and all past dividends before common shareholders receive any dividends.

________2.Received dividend exceeding the stated rate under certain conditions.

________3.Not entitled to receive dividends in excess of stated rate.

________4.Loses any dividend that are not declared in the current year.