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Wallace Container Company issued $100 par value preferred stock 10 years ago. The stock provided an 8 percent yield at the time of issue. The
Wallace Container Company issued $100 par value preferred stock 10 years ago. The stock provided an 8 percent yield at the time of issue. The preferred stock is now selling for $74.
What is the current yield or cost of the preferred stock? (Disregard flotation costs.)
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