Value of a Preferred Stock If a Preferred Stock from Pfizer

question 89

Multiple Choice

Value of a Preferred Stock If a preferred stock from Pfizer Inc.(PFE) pays $3.00 in annual dividends,and the required return on the preferred stock is 7 percent,what's the value of the stock?

• A)$0.21
• B)$0.43
• C)$21.00
• D)$42.86

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Definitions:

Identifier

A name in programming that identifies variables, functions, classes, or other entities.

Reserved Word

A word that is part of the syntax of a programming language, reserved for special use and cannot be used as an identifier.

Class Math

A class in Java that provides methods for performing basic numeric operations such as exponential, logarithm, square root, and trigonometry.

Java.math

A Java package that contains classes for performing arithmetic operations and processing large numbers.