Question: Most floating-rate preferreds have both a floor and a ceiling on their dividend rate. (See Section 31.5, footnote 28.) How do these limits affect the

Most floating-rate preferreds have both a floor and a ceiling on their dividend rate. (See Section 31.5, footnote 28.) How do these limits affect the behavior of the prices of these securities as interest rates change? Why do you think the companies included the limits in the first place?

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