Your firm has preferred stock outstanding that pays a current dividend of $3.00 per year and has a current price of $39.50. You anticipate that the economy will grow steadily at a rate of 3.00% per year for the foreseeable future
What is the market required rate of return on your firm's preferred stock?
A) 10.82%
B) 10.59%
C) 7.59%
D) There is not enough information to answer this question.
Answer: C
Explanation: C) Rps = = = 7.59%.
Note: the growth rate in the economy is a red herring and has no bearing on the answer.
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The most recent comparative balance sheet of Giacomelli Corporation appears below:Comparative Balance Sheet Ending BalanceBeginning BalanceAssets: Current assets: Cash and cash equivalents$37,000 $29,000 Accounts receivable 20,000 24,000 Inventory 65,000 61,000 Prepaid expenses 5,000 7,000 Total current assets 127,000 121,000 Property, plant, and equipment 424,000 399,000 Less accumulated depreciation 231,000 200,000 Net property, plant, and equipment 193,000 199,000 Total assets$ 320,000 $ 320,000 Liabilities and stockholders' equity: Current liabilities: Accounts payable$19,000 $17,000 Accrued liabilities 58,000 51,000 Income taxes payable 47,000 42,000 Total
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The main problem with email is the ____________________
a. sheer quantity of it b. inability to identify the author c. ability of anyone to write one d. lack of security
As a salesperson, you should know that the purpose of the negotiation close is to:
A. get the prospect to reveal true objections. B. overcome a prospect's practical and psychological objections. C. make prospects think their haggling has succeeded. D. find ways for both parties to have a fair deal. E. determine who gets the better end of the deal.