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Basic Question 0 of 7

Estimate the value of a preferred stock with $100 par value, a $15 dividend, and a 12% required return.

A. $100
B. $125
C. $150

User Contributed Comments 2

User Comment
sarath Preferred stock is like a perpetuity...
accounting YES
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Your review questions and global ranking system were so helpful.
Lina

Lina

Learning Outcome Statements

define shortfall risk, calculate the safety-first ratio, and identify an optimal portfolio using Roy's safety-first criterion

CFA® 2026 Level I Curriculum, Volume 1, Module 5.