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Question 5. BFI Corporation has a preferred stock issue outstanding, which carries a par value of $100 and a fixed dividend rate of 10 percent.

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Question 5. BFI Corporation has a preferred stock issue outstanding, which carries a par value of $100 and a fixed dividend rate of 10 percent. If the market requires a rate of return of 8 percent to hold this preferred stock, what is its market price today

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