If the yield to maturity is 566 and the face value is 1000


1. ABC Company pays dividends of $2.00 per share for its preferred stock outstanding, and the required rate of return on preferred stock, rg, is 15%. Considering there is no growth in dividends, at what price should the preferred stock sell?

2. Lee Enterprises' bonds currently sell for $1,200 with 12 years left to maturity. If the yield to maturity is 5.66% and the face value is $1,000, what should be the annual coupon payment?

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Business Management: If the yield to maturity is 566 and the face value is 1000
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