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What is the expected change in the dividend of a 4.5% preferred stock if the required rate of return drops instantly from 6% to 4.5%?
What is the expected change in the dividend of a 4.5% preferred stock if the required rate of return drops instantly from 6% to 4.5%?
a.
2% decrease
b.
no change
c.
2% increase
d.
3% increase
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