ACC 304 All Assignments ACC 304 All Assignments | Page 49

b. May increase net income if the cost method is used.
c. May decrease but not increase retained earnings.
d. May decrease but not increase net income.
43. Which of the following features of preferred stock makes the
security more like debt than an equity instrument?
a. Participating
b. Voting
c. Redeemable
d. Noncumulative
44.
The cumulative feature of preferred stock