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Find the market price for a share of preferred stock which promises to pay its share holders $2.50 in dividends per year forever. To solve
Find the market price for a share of preferred stock which promises to pay its share holders $2.50 in dividends per year forever. To solve this problem assume it is a zero growth stock and the opportunity cost of capital ( i.e. the required state of return, r) is 12.5%?
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