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(Preferred stockholder expected return) You own 100 shares of Shapard Resources preferred stock, which currently sells for $43 per share and pays annual dividends of
(Preferred stockholder expected return) You own 100 shares of Shapard Resources preferred stock, which currently sells for $43 per share and pays annual dividends of $3.25 per share. a. What is your expected return? b. If you require a return of 9 percent, given the current price, should you sell or buy more stock?
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