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David Gas & Electric issued preferred stock in 1985 that has a par value of $50. The stock pays a dividend of 7.875%. Assume that

David Gas & Electric issued preferred stock in 1985 that has a par value of $50. The stock pays a dividend of 7.875%. Assume that shares are currently selling for $62.50. What is the preferred stockholder's expected rate of return? Round to the nearest 0.01%

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