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E-Eyes.com Bank just issued some new preferred stock. The issue will pay a $9 annual dividend in perpetuity, beginning 11 years from now. Required :

E-Eyes.com Bank just issued some new preferred stock. The issue will pay a $9 annual dividend in perpetuity, beginning 11 years from now.

Required :

If the market requires a 6 percent return on this investment, how much does a share of preferred stock cost today?

rev: 09_18_2012

$87.95

$150.00

$79.02

$79.57

$83.76

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