Question
Topstone Industries' preferred stock pays an annual dividend of $4.00 per share. When issued, the shares sold for their par value of $100 per share.
Topstone Industries' preferred stock pays an annual dividend of $4.00 per share. When issued, the
shares sold for their par value of $100 per share. What is the cost of preferred stock if the current price is
$125 per share?
a. 3.2%
b. 3.7%
c. 4.0%
d. 4.7%
e. 31.3%
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Probability And Statistics For Engineering And The Sciences
Authors: Jay L. Devore
9th Edition
1305251806, 978-1305251809
