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​ Haney, Inc.'s preferred stock is selling for ​$20.7520.75 per share in the market and pays...

​ Haney, Inc.'s preferred stock is selling for

​$20.7520.75

per share in the market and pays a

​$3.503.50

annual dividend.

a. What is the expected rate of return on the​ stock?

b. If an​ investor's required rate of return is

99

​percent, what is the value of the stock for that​ investor?

c. Should the investor acquire the​ stock?

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