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Suppose you purchased a $50 par value preferred stock. The stock's price is $48 per share and it pays a 10% dividend rate per year.

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Suppose you purchased a $50 par value preferred stock. The stock's price is $48 per share and it pays a 10% dividend rate per year. Investors require a 13% Fate of return on the stock and the marginal tax rate is 21%. What is the expected return on this preferred stock? O 10.42% 8.9% O 11.3% 10.8% O 6.88%

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