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What is the required rate of return on a preferred stock with a $50 par value, a stated annual dividend of 7% of par, and
What is the required rate of return on a preferred stock with a $50 par value, a stated annual dividend of 7% of par, and a current market price of (a) $31, (b) $41, (c) $51, and (d) $71? (Assume the market is in equilibrium with the required return equal to the expected return.) Do not round intermediate calculations. Round your answers to two decimal places. % % % %
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