CFA Practice Question

There are 534 practice questions for this study session.

CFA Practice Question

All of the following can be considered a potentially dilutive security EXCEPT ______.

A. stock options
B. convertible debt
C. preferred stock
D. warrants
Correct Answer: C

Not all preferred stock is dilutive. Only convertible preferred stock can be potentially dilutive.

User Contributed Comments 4

User Comment
sarath Important: only convertible preferred stock is dultive not the other types of preferred stock.
cwrolfe Only convertible preferred stock is POTENTIALLY dilutive.
surob tricky one.
magicchip Well, if you know that A B and D are 100% dilutive, that would leave only one possible answer.
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