$8\mathrm{.}6$ You are considering an investment in one of two preferred stocks, TCF Capital or TAYC Capital Trust. TCF Capital pays an annual dividend of $$2\mathrm{.}69,$ while TAYC Capital pays an annual dividend of $$2\mathrm{.}44.$ If your required return is $12$ percent, what value would you assign to the stocks?

$8\mathrm{.}8$ Mosser Corporation's common stock paid $$1\mathrm{.}32$ in dividends last year and is expected to grow indefinitely at an annual $7$ percent rate. What is the value of the stock if you require an $11$ percent return?

$8\mathrm{.}9$ The Cammack Corporation wants to achieve a steady $7$ percent growth rate. If it can achieve a $12$ percent return on equity, what percentage of earnings must Cammack retain for investment purposes?

$8\mathrm{.}11$ Bates, Inc. pays a dividend of $$1$ and is currently selling for $$32\mathrm{.}50.$ If investors require a $12$ percent return on their investment from buying Bates stock, what growth rate would Bates, Inc. have to provide the investors?

$8\mathrm{.}21$ You are planning to purchase $100$ shares of preferred stock and must choose between Stock A and Stock B$.$ Stock A pays an annual dividend of $$4\mathrm{.}50$ and is currently selling for $$35.$ Stock B pays an annual dividend of $$4\mathrm{.}25$ and is selling for $$36.$ If your required return is $12$ percent, which stock should you choose?

$8\mathrm{.}28$ Alyward & Bram's common stock currently sells for $$23$ per share. The company's executives anticipate a constant growth rate of $10\mathrm{.}5$ percent and an end$-$of$-$year dividend of $$2\mathrm{.}50.$

a$.$ What is your expected rate of return?

b$.$ If you require a $17$ percent return, should you purchase the stock?