Kindzi Co. has preferred stock outstanding that is expected to pay an annual dividend of $3.34...
Kindzi Co. has preferred stock outstanding that is expected to pay an annual dividend of $3.34 every year in perpetuity. If the required return is 3.59 percent, what is the current stock price?
Homework Answers
The price is computed as shown below:
= Annual dividend / required rate of return
= $ 3.34 / 3.59%
= $ 93.04 Approximately
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