NEED SOLUTION USING EXCEL FORMULAS. WILL RATE5/5

1. (3) A company issues preferred stock, which is a cross of debt and equity. In case of bankruptcy, preferred shareholders are paid off before common shareholders. Moreover, companies that purchase other companies' preferred stock, within certain limitations, get a big tax break on the preferred dividend income paid to the owner of the preferred stock. Let's say that the preferred dividend is 6.25% of the preferred stock's par value. The current market interest rate on preferred stock of comparable degree of risk is 8.15%. What is the highest price you would be willing to pay for one share of that stock