Assignment Score: 47.61 Save Submit Assignment for Grading Questions Problem 8-14 12. Question 14 of 21 13. Check My Work 14. 15. 8-13: Preferred Stock Problem 8-14 Preferred Stock Valuation Several years ago, Rolen Riders issued preferred stock with a stated annual dividend of 10% of its $100 par value. Preferred stock of this type currently yields 7%. Assume dividends are paid annually. 16. 17. 18. a. What is the estimated value of Rolen's preferred stock? Round your answer to the nearest cent. 19. 20. b. Suppose interest rate levels have risen to the point where the preferred stock now yields 11%. What would be the new estimated value of Rolen's preferred stock? Round your answer to the nearest cent. ol 21. Check My Work 112 ch O hp