Question: Regency exploration issued a noncallable, nonconvertible, fixed rate perpetual preferred stock 5 years ago. Stock was issued at $15 per share with a $1.25 dividend.

Regency exploration issued a noncallable, nonconvertible, fixed rate perpetual preferred stock 5 years ago. Stock was issued at $15 per share with a $1.25 dividend. If the company were to issue preferred stock today the yield would be 8.75 percent. The stock's current value is closest to

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