What should be the prices of the following preferred stocks if comparable securities yield 6 percent, 8

Question:

What should be the prices of the following preferred stocks if comparable securities yield 6 percent, 8 percent, and 10 percent?

a) MN, Inc., $4 preferred ($100 par).

b) CH, Inc., $4 preferred ($100 par with the additional requirement that the firm must retire the preferred after 20 years). Why should the prices of these securities be different?

Stocks
Stocks or shares are generally equity instruments that provide the largest source of raising funds in any public or private listed company's. The instruments are issued on a stock exchange from where a large number of general public who are willing...