Business Finance
Value of share of preferred stock & selling price - Finance

Question Description

I need support with this Business question so I can learn better.

1. What is the value of a share of preferred stock that pays a $4.50 dividend, assume k is 10%.


2. A U.S. Government bond with a face amount of $10,000 with 8 years to maturity is yielding 3.5%. What is the current selling price?

Student has agreed that all tutoring, explanations, and answers provided by the tutor will be used to help in the learning process and in accordance with Studypool's honor code & terms of service.

Final Answer

1 value:  $ 45

2.  Current selling price:  $ 7594.12

Niru B (1011)
UC Berkeley

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