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Please explain how to get this answer Based on the following information concerning Ford preferred stock, Preferred dividend per share: $9 Beta: 0.85 Risk free
Please explain how to get this answer
Based on the following information concerning Ford preferred stock,
Preferred dividend per share: $9
Beta: 0.85
Risk free rate: 5%
Market risk premium: 6%
Calculate the expected price in 4 years. You expect the risk free rate to decrease to 3% and the market risk premium to increase to 10% in 4 years.
a.$78.26
b.$76.43
c.$74.22
d.$80.65
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