exercise 6

North Pole Cruise Lines issued preferred stock many years ago. It carries a fixed dividend of $12 per share. With the passage of time, ylelds have changed from the original 11 percent to 10 percent (yleld is the same as required rate of retum). a. What was the original issue price? (Do not round intermediate calculations. Round your answer to 2 decimal places.) b. What is the current value of this preferred stock? (Do not round intermediate calculations. Round your answer to 2 decimal places.)