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Parks is traded at $40 per share. A preferred share of Parks will pay a dividend of $8 in the upcoming year and every year

Parks is traded at $40 per share. A preferred share of Parks will pay a dividend of $8 in the upcoming year and every year thereafter; that is, dividends are not expected to grow. You require a return of 7% on this stock. Analysts expect the price of Parks shares to be $50 a year from now. Using the one-period intrinsic value model, a preferred share of Parks is worth ________.

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