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NACVA Exam CVA Topic 6 Question 110 Discussion

Actual exam question for NACVA's CVA exam
Question #: 110
Topic #: 6
[All CVA Questions]

The special characteristics of the preferred stock that we typically encounter include all of the following EXCEPT:

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Suggested Answer: D

Contribute your Thoughts:

Kimberlie
3 months ago
I'm drawing a blank on this one. Preferred stock is a real snooze-fest!
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Dorthy
2 months ago
D) Convertible versus nonconvertible rights into preferred equity
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Donte
2 months ago
C) Cumulative versus noncumulative dividends
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Devora
2 months ago
B) Liquidation preference
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Jonell
2 months ago
A) Dividend rate
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Glennis
3 months ago
I think that's correct because the other options are commonly associated with preferred stock.
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Mirta
3 months ago
I believe the answer is D) Convertible versus nonconvertible rights into preferred equity.
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Annamae
3 months ago
D) Convertible versus nonconvertible rights is a key feature of preferred stock, so that can't be the answer.
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Annamae
2 months ago
C) Cumulative versus noncumulative dividends
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Dong
2 months ago
B) Liquidation preference
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Julie
3 months ago
A) Dividend rate
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Mable
3 months ago
I agree, they can really impact the value of the stock.
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Antonio
3 months ago
B) Liquidation preference seems like the odd one out here. Preferred stockholders get paid first in a liquidation event.
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Malcom
2 months ago
Exactly, that's the correct answer.
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Jerilyn
2 months ago
Oh, I see. In that case, the odd one out would be D) Convertible versus nonconvertible rights into preferred equity.
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Gearldine
2 months ago
That's true, but the question is asking for the exception.
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Brandee
2 months ago
D) Convertible versus nonconvertible rights into preferred equity
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Lashaun
2 months ago
C) Cumulative versus noncumulative dividends
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Marva
2 months ago
B) Liquidation preference
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Rosina
2 months ago
A) Dividend rate
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Lorrie
4 months ago
I think the special characteristics of preferred stock are important in the exam.
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Galen
4 months ago
I think the answer is A) Dividend rate. Preferred stock usually has a fixed dividend rate, not a special characteristic.
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Ben
3 months ago
Oh, I see. Thanks for clarifying!
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Tiera
3 months ago
No, that's not correct. It's actually D) Convertible versus nonconvertible rights into preferred equity.
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Skye
3 months ago
I think the answer is A) Dividend rate.
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