Preferred Products has issued preferred stock with an annual dividend of $8.88 that will be paid in perpetuity.

a.	If the discount rate is 12%, at what price should the preferred sell?

Current price

$

b.	At what price should the stock sell 1 year from now?

Future price

$

c.	What is the dividend yield, the capital gains yield, and the expected rate of return of the stock?(Leave no cells blank - be certain to enter "0" wherever required. Enter your answers as a whole percent.)

Dividend yield	%
Capital gains yield	%
Expected rate of return	%