Preferred stock returns, Bruner Aeronautics has perpetual

Preferred stock returns

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Reference no: EM13806752

Preferred stock returns

Bruner Aeronautics has perpetual preferred stock outstanding with a par value of $100. The stock pays a quarterly dividend of $3, and its current price is $123.

What is its nominal annual rate of return? Round your answer to two decimal places.

What is its effective annual rate of return? Round your answer to two decimal places.

Reference no: EM13806752

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