Question: Problem 8-22 Valuing Preferred Stock [LO1] E-Eyes.com just issued some new 20/20 preferred stock. The issue will pay an annual dividend of $24 in

Problem 8-22 Valuing Preferred Stock [LO1] E-Eyes.com just issued some new 20/20

Problem 8-22 Valuing Preferred Stock [LO1] E-Eyes.com just issued some new 20/20 preferred stock. The issue will pay an annual dividend of $24 in perpetuity, beginning 13 years from now. If the market requires a return of 3.8 percent on this investment, how much does a share of preferred stock cost today? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

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