Stock Valuation at Jahaks Enterprises Jahaks Enterprises is in the business of manufacturing and selling Soda making machinery. The following information comes from Jahaks Enterprises 2020 financials. The company sold 5,500 units of Soda machines at a price per unit of $100, Cost per unit $25, total operating expenses of $10,000 and taxes @ 20%. The company has 10,000 outstanding common shares and has a payout ratio of 30% this year. The company expects the dividend to grow at 4% per annum, and analysts have estimated that the required rate of return on similar risk assets is 10% (i) Using the Dividend growth model what is the price of the company's common shares? (ii) The company CFO is looking to issue preferred shares to help finance its expansion. The CFO has asked you look into the value of preferred shares of similar risk assets, and you find a company that has a $1,000 Par value preferred stock that pays 8% dividends each year. The required rate of return of these preferred shares is 8.5%. What would be the share price of these Preferred shares?