Select one of the preferred stocks listed in Table 16.1—assume the dividends qualify for the preferential tax rate. Using the resources at your campus or public library or on the Internet, determine the following.

a. The stock’s latest market price

b. Its dividend yield

c. Its fixed charge coverage

d. Its book value per share

e. Its stated par value Comment briefly on the issue’s yield and the quality of its claim on income and assets.

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TABLE 16.1 A SAMPLE OF YIELDS PROVIDED BY PREFERRED STOCK Annual Market Dividend Issuer Dividend Price Yield Alcoa $3.75 $82.75 4.53% Chesapeake Energy $4.50 $68.20 6.60% Goodyear $2.94 $47.17 6.23% Hecla Mining $3.50 $59.50 5.88% JP Morgan Chase & Co $1.19 $25.58 4.65% Pacific Gas $1.09 $23.19 4.70% United States Cellular $1.74 $25.29 6.87% (Source: http://www.dividend.com, August 12, 2015.)