Preferred stock is often called a hybrid security because it has some characteristics that are typical of debt and others that are typical of common equity, The following table lists several characteristics of peeferred stock. Determine which of these characteristics are consistent with debt securities and which are consistent with common stock. Consider the cose of Cute Camel Woodcraft Company: Cute Camel Woodcraft Company poys an annual dividend rate of 14.80% on its preferred stock that currently returns 19.83% and has a par value of $100.00 per share. The preterred stock issue does not mature, and computes its annual dividend as the product of its dividend rate and its par value. What is the current market value of Cute Camel's preferred stock? 5102.99 per share 574.63 per share \$65.67 per share 190,60 per thare Suppose that due to Kigh inflation; interest rates rise and puil the preferred dividend vield to 28.75%. Then the varue of Cute Camei's preferred atock 11 ta This is becouse interest rates (and secianty returns) and secuntity valves are related