1. When an independent variable is correlated with one other independent variable, the variables are said to be
collinear.
pairwise.
independent.
mutually exclusive.
None of these
2. Moraine, Inc., has an issue of preferred stock outstanding that pays a $5.95 dividend every year in perpetuity. If this issue currently sells for $94 per share, what is the required return? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Required return %