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irakobra [83]
3 years ago
10

Amazon Corporation has preferred stock outstanding that pays a $12.80 annual dividend. It price is $158. What is the required ra

te of return (yield) on the preferred stock?
Business
1 answer:
nordsb [41]3 years ago
5 0

Answer:

8.10%

Explanation:

The required rate of return (yield) on the preferred stock = Dividend / Price

= $12.80 / $158  = 0.0810126582278481 = 8.10%

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