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E-Eyes.com Bank just issued some new preferred stock. The issue will pay a $17 annual dividend in perpetuity, beginning 8 years from now. Required :

E-Eyes.com Bank just issued some new preferred stock. The issue will pay a $17 annual dividend in perpetuity, beginning 8 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?

$283.33

$177.77

$197.85

$188.43

$179.01

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