Q854
Value of stock is Rs 400 and required rate of return is 20% then preferred dividend would be
A.
Rs 80.00
AnswerB.
Rs 8,000.00
C.
Rs 20.00
D.
Rs 50.00
Answer: Option A
Solution
Answer: Option A
Solution:
Preferred Dividend = Value of stock * Required rate of return = 400 * 20% = Rs. 80.00