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You are thinking of buying a preferred share. The preferred share will not pay an annual dividend for the next five years. The first annual

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You are thinking of buying a preferred share. The preferred share will not pay an annual dividend for the next five years. The first annual dividend of $1.56 per share will be paid in year 6. If you require a rate return of 15.4%, what price would you pay for the stock? Compute to the nearest 1/100 of a dollar with no commas and dollar sign, e.g. 12.36) 7

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