What rate of return did your sister make

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Reference no: EM1343824

You have a preferred stock which has a callability feature after 10 years at $115.

The dividend annually is $10. Your sister buys the preferred stock from you when yields are 12% after 4 years. Consider that the firm buys back the preferred stock at the time that it has the right to do so. What rate of return did your sister make?

Reference no: EM1343824

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