The preferred stock of ABC Co. offers a 10.6% rate of return. The stock is currently priced at $80.19 per share. What is the amount of the annual dividend?

Name: The preferred stock of ABC Co. offers a 10.6% rate of return. The stock is currently priced at $80.19 per share. What is the amount of the annual dividend?
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Question

Quizplus · Accepted Answer

The annual dividend can be calculated by multiplying the rate of return (10.6%) by the current price per share ($80.19). So, the calculation is 0.106 * $80.19 = $8.50.

The Preferred Stock of ABC Co