Guys,
Brushing a little bit on accounting. For preferred cash dividend, do you show this on the IS? I know for common dividends, these never show up on the IS and just on the CF as these are not expenses and not tax deductible. But for preferred dividend, was reading somewhere that since preferred div has to be paid out, it is similar to interest expense and will show on IS? True for False?
For PIK Preferred Dividend, how does this work? say if you don't show PIK div at all on IS, how do make the BS balance?
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