4:1) 66% ttps://edugen.wileyplus.com/edugen/student/mainfr.uni TONBAKMECT X-Cent

Question

4:1) 66% ttps://edugen.wileyplus.com/edugen/student/mainfr.uni TONBAKMECT X-Centric Energy Company has issued perpetual preferred stock with a stated (par) value of $100 and a dividend of 5.0 percent. If the required rate of return is 9.25 percent, what is the stock's current market price? (Round answer to 2 decimal places, e.g. 15.25) rrent market price By accessing this Question Assistance, you will learn while you earn points based on the Point Potential Policy set by your instructor. Question Attempts: 0 of 3 used BAVE FOR LATERSUBMIT ANSWER Earn Maximum Points available only if you answer this question correctly in two attempts or less. Version 4.24.3.3

Explanation / Answer

Ans. Current market price    =   $ 54.05 *Calculation: Current market price    =     Dividend / Rate of return 5 / 9.25*100 54.05 *Dividend = 100 * 5% 5

Related Questions

Navigate

• Browse (All)
• Browse 4
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.