If Genco's Preferred Stock Pays a Dividend of $5 Per

question 67

Multiple Choice

If Genco's preferred stock pays a dividend of $5 per share and its investors require an 8% return,what should its price per share of preferred stock be?

• A) $50.00
• B) $.40
• C) $62.50
• D) $6.25
• E) $12.75

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