How do you estimate the required rate of return on a share


1. Does secondary market trading generate capital for the company whose stock is trading?

2. Describe the basic structure of secondary markets. Be sure to differentiate between broker markets and dealer markets .

3. How do you estimate the required rate of return on a share of preferred stock if you know its market price and its dividend?

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Financial Management: How do you estimate the required rate of return on a share
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