Task: Class Definition Understanding (ontology: Business_Finance/Financial_Industry_Business_Ontology)

Which of the following definitions best describes 'non-cumulative preferred share'?

A. preferred share whose dividend payments are not carried forward
B. preferred share whose redemption date can be extended at the issuer or holder option
C. preferred share that may be exchanged for a security of another issuer
D. preferred share whose dividend rate is periodically reset through an auction, such as a Dutch auction

Answer: preferred share whose dividend payments are not carried forward