(Preferred stock expected return) You are considering the purchase of 100 shares of preferred stock. Your required return is 18 percent. If the stock is currently selling for $36 and pays a dividend of $5.75, should you purchase the stock? a. What is the expected rate of return of the stock? % (Round to two decimal places.) b. If you have a required rate of return of 18%, you purchase the stock because the stock's expected rate of return is your required rate of return. (Select from the drop-down menus.)