(i) a share of common stock in a firm represents an ownership interest in that firm.(ii) a share of preferred stock is as much like a bond as it is like common stock. a) (i) is true, (ii) false. b) (i) is false, (ii) true. c) both are true. d) both are false.

C) Both are true.

Explanation:

A common stock is a type of security that represents an ownership interest in a firm. Holders of a common stock are paid a percentage of the firm's profit as dividends at particular periods.

Holders of common stock have voting right in the company where the stock is bought.

A preferred stock is a security that pays holders a fixed amount of dividend at a particular period.

It has both the features of a common stock and bond because just like common stock, it can appreciate in price and like bonds, a fixed amount of dividends is paid.

Holders of a preferred stock are paid dividends before common stock shareholders.

Holders of a preferred stock do not have voting rights in the company where the stock is bought.

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