Chapter 7 | Question 4: Please answer the following questions below (see image):

Achi Corp. has preferred stock with an annual dividend of

$2.82.

If the required return on Achi's preferred stock is

7.8%,

what is its price?

(Hint:

For a preferred stock, the dividend growth rate is zero.)

Achi Corp. has preferred stock with an annual dividend of $2.82. If the required return on Achi's preferred stock is 7.8%, what is its price? (Hint: For a preferred stock, the dividend growth rate is zero.) Achi's stock price will be $ (Round to the nearest cent.)