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Nike Corporation's preferred stock is expected to pay a dividend of $4.00 forever and currently sells for $21.33. What is the required rate of return?

Nike Corporation's preferred stock is expected to pay a dividend of $4.00 forever and currently sells for $21.33. What is the required rate of return?

a. 18.75%

b. 15.78%

c. 16.95%

d. 17.25%

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