Alcott's Preferred Stock Pays a Dividend of $1

question 63

Multiple Choice

Alcott's preferred stock pays a dividend of $1.00 per quarter.If the price of the stock is $45.00, what is its nominal (not effective) annual rate of return?

• A) 8.03%
• B) 8.24%
• C) 8.45%
• D) 8.67%
• E) 8.89%

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Definitions:

Stress

A psychological and physical response to perceived challenges or threats, leading to various emotional, cognitive, and biological reactions.

Hippocampus

A key structure in the brain involved in the formation of new memories and is closely associated with learning and emotions.

Cortisol

A steroid hormone released by the adrenal glands in response to stress and low blood-glucose concentration, involved in metabolic functions.

Memory

The faculty by which the mind stores and remembers information, allowing for the retention and recall of past experiences.