Please provide the inputs for the financial calc. as well as any other work needed
The Jones Company has decided to undertake a large project. Consequently, there is a need for additional funds. The CFO plans to issue preferred stock with a perpetual annual dividend of $5 per share and a par value of $30. If the required rate of return (rp) on this stock is currently 20%, what should be the market value of the preferred stock?
a. $150
b. $100
c. $ 50
d. $ 25
e. $ 10