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    shannonthorn's Avatar
    shannonthorn Posts: 5, Reputation: 1
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    #1

    Feb 8, 2008, 09:43 PM
    Preferred stock
    Fee Founders has preferred stock outstanding that pays a dividend of $5 at the end of each year.
    The preferred stock sells for $60 a share. What is the preferred stock’s required rate of return?
    Clough's Avatar
    Clough Posts: 26,677, Reputation: 1649
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    #2

    Feb 8, 2008, 11:32 PM
    (Question moved from Business Plans to more appropriate topic area so that it will get noticed more by those who are best able to give advice in helping to answer the question.)
    nanana's Avatar
    nanana Posts: 1, Reputation: 1
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    #3

    Feb 9, 2008, 12:24 PM
    Charcteristics of debt

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Preferred stock [ 1 Answers ]

How do you estimate the required rate of return on a share of pereferred stock if you know its market price and its dividend?


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