Dimensions Corporation's preferred stock recently paid its annual dividend of $6.75 per share. The par value of the preferred stock is $100. Investors require a 9% rate of return on this stock. What is the intrinsic value of the preferred stock? 

a) $1,000 

b) $100 

c) $833 

d) $75 

e) $1,111

Answer rating: 100% (QA)

The intrinsic value of the preferred stock can be calculated usi... View the full answer