Valuing Preferred Stock Ayden, Inc., has an issue of preferred stock outstanding that pays a $6.50 dividend

Question:

Valuing Preferred Stock Ayden, Inc., has an issue of preferred stock outstanding that pays a $6.50 dividend every year in perpetuity If this issue currently sells for SI 13 per share, what is the required return?

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their... Perpetuity
Perpetuity refers to payments that are made without an end or maturity date. A perpetuity is classified as an annuity, which is something that earns a dividend or receives a payment at a regularly scheduled interval, generally yearly. So, how...