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Fenway Athletic Club plans to offer its members preferred stock with a par value of $200 and an annual dividend rate of 7 %. What

Fenway Athletic Club plans to offer its members preferred stock with a par value of $200 and an annual dividend rate of 7 %.

What price should these members be willing to pay for the returns theywant?

a.Theo wants a return of 10%.

b.Jonathan wants a return of 11%.

c.Josh wants a return of 14%.

d.Terry wants a return of 17%.

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