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(Preferred stock expected return) You are planning to purchase 200 shares of preferred stock and must choose between Stock A and Stock B. Stock A
(Preferred stock expected return) You are planning to purchase 200 shares of preferred stock and must choose between Stock A and Stock B. Stock A pays an annual dividend of $3.75 and is currently selling for $33. Stock B pays an annual dividend of $3.55 and is selling for $35. If your required return is 10.75 percent, which stock should you choose? What is the expected return of Stock A? nothing% (Round to two decimal places.)
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