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Tom has 20000 preference shares at a par value of $1 each in issue. The preference shares are redeemable 5 years from now at par

Tom has 20000 preference shares at a par value of $1 each in issue. The preference shares are redeemable 5 years from now at par value. The preference dividend of 10% is paid annually at the end of the year. The preference share are trading at $0.75 each at present. What is the cost of preference shares?
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