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    Preferred Stock Valuation and Nick Enchiladas

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    Nick's Enchiladas Incorporated has preferred stock outstanding that pays a dividend of $3 at the end of each year. The preferred stock sells for $55 a share. What is the stock's required rate of return?

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    https://brainmass.com/business/business-math/preferred-stock-valuation-nick-enchiladas-457325

    Solution Summary

    The solution computes required rate of return on preferred stock.

    $2.19