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Stockholders who are prioritized in the distribution of a firm's dividends but cannot vote are called:

a) Preferred stockholders
b) Common stockholders
c) Bondholders
d) Debenture holders

User Zkarthik
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1 Answer

6 votes

Final answer:

Preferred stockholders are prioritized for dividends but lack voting rights, while common stockholders have voting rights but are not prioritized for dividends.

Step-by-step explanation:

The stockholders who are prioritized in the distribution of a firm's dividends but cannot vote are called preferred stockholders.

Preferred stockholders typically have a higher claim on the assets and earnings than common stockholders, who do have voting rights.

While preferred stockholders have priority in receiving dividends and may receive these dividends at a fixed rate, they typically do not have the right to vote on matters such as the election of the board of directors.

User Gico
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