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You are a risk averse investor. You are planning to buy preferred shares of Lambert, Co. The company has 4.5% preferred stock outstanding with a

You are a risk averse investor. You are planning to buy preferred shares of Lambert, Co. The company has 4.5% preferred stock outstanding with a par value of $100. How much are you willing to pay for one hundred preferred shares of Lambert if you require a 6.25% rate of return? Multiple Choice $7,200 $7,000 $6,250 $5,250 $4,500

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