Question
What will be the nominal rate of return on a perpetual preferred stock with a $100 par value, a stated dividend of 10% of par,
What will be the nominal rate of return on a perpetual preferred stock with a $100 par value, a stated dividend of 10% of par, and a current market price of (a) $64, (b) $86, (c) $95, and (d) $142? Round your answers to two decimal places.
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Financial Management Principles and Application
Authors: Arthur J. Keown, J. William Petty, David F. Scott, Jr.
10th edition
536514119, 536514110, 978-0536514110
