You are considering an investment in Double Eagle Petroleums preferred stock. The preferred stock pays a dividend

Question:

You are considering an investment in Double Eagle Petroleum’s preferred stock. The preferred stock pays a of $ 2.31. Your required return is 12 percent. Value the stock.
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...