Final answer:
If redeemable preferred stock has a specified date at a specified price, it is usually classified as preferred stock (C).
Step-by-step explanation:
If redeemable preferred stock has a specified date at a specified price, it is usually classified as preferred stock (C).
Preferred stock is a type of equity that gives shareholders certain privileges, such as receiving dividends before common stockholders. Redeemable preferred stock is a specific type of preferred stock that can be redeemed or repurchased by the issuing company at a predetermined date and price.
For example, let's say a company issues redeemable preferred stock with a specified date of 5 years from now and a specified price of $100 per share. This means that after 5 years, the company has the option to repurchase the preferred shares from the shareholders at $100 per share.