Please use excel formula to answer the question.

10 points Skipped Refe rences B '3' C" 3' 3 Preferredstock-Excel ? E X HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Sign In" AD lg; . Calibri E % 3%] E? Egg E n Paste V 3 I g . Alignment Number Conditional Format as Cell Cells Editing ' ' v v Formatting ' Table ' Styles ' v v Clipboard f?- Font E Styles A A1 V \ h j; v A B c D E F G H I J K A 1 I 2 3 Moraine, Inc., has an issue of preferred stock outstanding that pays a $3.50 dividend every year in perpetuity. If this issue currently sells for $85 per share, what is the required return? 4 5 6 Annual dividend 7 Current price 8 9 10 Complete the following analysis. Do not hard code values in your calculations. 11 12 Required return 13 14 15 16 6 A1 X V A B C D E F G H I N 10 points 3 The Perfect Rose Co. has earnings of $2.35 per share. The benchmark PE for the company is 18. What stock price would you consider appropriate? What if the benchmark PE were 21? Skipped 4 5 EPS $ 2.35 Benchmark PE 18 eBook 8 Benchmark PE 21 9 10 Print 11 Complete the following analysis. Do not hard code values in your calculations. 12 13 Stock price at a PE of 18 References 14 15 Stock price at a PE of 21 16 17 18 19