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A firm has the following preferred stocks outstanding. PFD: $ 6 0 annual dividend, $ 1 , 0 0 0 par value, maturity after four

A firm has the following preferred stocks outstanding. PFD: $

60

annual dividend, $

1, 000

par value, maturity after four years. If comparable yields are

7 %,

what should be the price of this stock?

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