A firm has an outstanding issue of perpetual preferred stock with an annual dividend of $7.5 per share. If the required return on this preferred stock is 6.5%, at what price per share should the stock sell? A firm's stock has a 25% chance of producing a 8% return, a 50% chance of producing a 12% return, and a 25% chance of producing a 16% return. What is the firm's expected rate of return? Suppose your credit card issuer states that it charges a 15% nominal annual rate, but you must make monthly payments, which amount to monthly compounding. What is the effective annual rate (EFF%)? *