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A preferred share of American Electric Power (AEP) offers a dividend of $0.65 a year. Assuming that AEP will exist perpetually, what price would you
A preferred share of American Electric Power (AEP) offers a dividend of $0.65 a year. Assuming that AEP will exist perpetually, what price would you pay for this preferred share if investors require a 4% return on it?
$0.65
Insufficient information.
$10.50
$6.15
$16.25
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