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8) Common stockholders are essentially: A) creditors of the firm. B) managers of the firm. C) owners of the firm. D) all of the above.

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8) Common stockholders are essentially: A) creditors of the firm. B) managers of the firm. C) owners of the firm. D) all of the above. 9) Cost of preferred stock and it's required rate of return are the same. True False 10) Little Feet Shoe Co. just paid a dividend of $1.65 on its common stock. This company's dividends are expected to grow at a constant rate of 3% indefinitely. If the required rate of return on this stock is 11%, compute the current value of per share of LFS stock. A) $20.63 B) $21.24 C) $15.00 D) $55.00

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