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chapter 9 7. Preferred stock valuation Fee Founders has perpetual preferred stock outstanding that sells for $50.00 a share and pays a dividend of $5.00

chapter 9

7. Preferred stock valuation

Fee Founders has perpetual preferred stock outstanding that sells for $50.00 a share and pays a dividend of $5.00 at the end of each year. What is the required rate of return? Round your answer to two decimal places.

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