Sunkwa Inc. just issued some new preferred stock. The issue will pay annual dividend of $13.20 per share in perpetuity, beginning 8 years from today. No dividend will be paid in the first 7 years. If the market requires a return of 7.43 percent on this investment, how much should a share of this preferred stock cost today

Jamie is saving for a trip to europe. she has an existing savings account that earns 3 percent annual interest and has a current balance of $4,200. jamie doesn’t want to use her current savings for vacation, so she decides to borrow the $1,600 she needs for travel expenses. she will repay the loan in exactly one year. the annual interest rate is 6 percent. a. if jamie were to withdraw the $1,600 from her savings account to finance the trip, how much interest would she forgo? .b. if jamie borrows the $1,600 how much will she pay in interest? c. how much does the trip cost her if she borrows rather than dip into her savings?