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Avondale Aeronautics has perpetual preferred stock outstanding with a par value of $100. The stock pays a quarterly dividend of $3.00 and its current price
Avondale Aeronautics has perpetual preferred stock outstanding with a par value of $100. The stock pays a quarterly dividend of $3.00 and its current price is $95. a. What is its nominal annual rate of return? Do not round intermediate calculations. Round your answer to two decimal places. % b. What is its effective annual rate of return? Do not round intermediate calculations. Round your answer to two decimal places. %
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