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Common
Stock
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Preferred
Stock
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1.It is units of ownership
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1.It is special form of ownership
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2.Dividend is not certain
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2.Fixed periodic dividend
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3.Stock holders can’t claim against companies assets or earnings
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3.Stock holders can claim against companies assets or earnings
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4.Receive dividend after preferred stock holder
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4.Receive dividend before common stock holder
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5.Dividend are given at the discretion of the board of the directors.
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5.Dividend are stated.
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Tuesday, September 20, 2016
Common stock VS Preferred stock
