At what price would we expect each share to be sold

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Question - The holder of each share of Yucca Yam Canneries preferred stock expects to receive a dividend of $1.79 quarterly (every three months). If a rational purchaser would require a 7.85% compounded annual rate of return (in EAR terms), at what price would we expect each share to be sold? (Be sure to carry computations out several decimal places for accuracy.)

A. $91.21

B. $115.57

C. $375.41

D. $112.54

E. $93.85

Reference no: EM132956936

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