Compute the original issue price

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There is a fixed dividend of $6 per share. With the passage of time, yields have soared from the original 6% to 14%:

What was the original issue price?

What is the current value of this preferred stock?

If the yield on the Standard & Poor's Preferred Stock Index declines, how will the price of the preferred stock be affected?

 

Reference no: EM1363597

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