Problem 9-7 Preferred stock rate of return

What will be the nominal rate of return on a perpetual preferred stock with a $100 par value, a stated dividend of 7% of par, and a current market price of (a) $61.00, (b) $85.00, (c) $95.00, and (d) $142.00? Round your answers to two decimal places.

a %

b%

c%

d %