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A preferred stock pays a fixed dividend of $4.50 every three months forever. The annual rate of return is 16%. Its price today (or the
A preferred stock pays a fixed dividend of $4.50 every three months forever. The annual rate of return is 16%. Its price today (or the present value of cash flows) is
a. 112.50
b.28.13
c. 7.03
d. Infinity
e. 4.50
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Business And Personal Finance
Authors: McGraw-Hill
1st Edition
0078945801, 9780078945809
