Barnes Air Conditioning Inc has two classes of preferred stock floating rate preferred stock and straight (normal) preferred stock Both issues have a par value of $100 The floating rate preferred stock pays an annual dividend yield of 7 percent, and the straight preferred stock pays 8 percent Since the issuance of the two securities, interest rates have gone up by 1 80 percent for each issue Both securities will pay their year end dividend today a What is the price of the floating rate preferred stock most likely to be (Do not round intermediate calculations and round your answer to 2 decimal places ) Price $ b What is the price of the straight preferred stock likely to be (Do not round intermediate calculations and round your answer to 2 decimal places ) Price $

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Barnes Air Conditioning Inc  has two classes of preferred stock  floating rate preferred stock and straight (normal) preferred stock  Both issues have a par value of $100  The floating rate preferred stock pays an annual dividend yield of 7 percent, and the straight preferred stock pays 8 percent  Since the issuance of the two securities, interest rates have gone up by 1 80 percent for each issue  Both securities will pay their year end dividend today  a  What is the price of the floating rate preferred stock most likely to be  (Do not round intermediate calculations and round your answer to 2 decimal places ) Price $ b  What is the price of the straight preferred stock likely to be  (Do not round intermediate calculations and round your answer to 2 decimal places ) Price $

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Barnes Air Conditioning Inc. has two classes of preferred stock: floating rate preferred stock and straight (normal) preferred stock. Both issues have a par value

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