What will be the nominal rate of return on a preferred stock with a $100 par value, a stated dividend of 8% of par, and a current market price of (a) $60, (b) $80, (c) $100, and (d) $140?

What will be the nominal rate of return on a preferred stock with a $100 par value, a stated dividend of 8% of par, and a current market price of (a)  $60, (b) $80, (c) $100, and (d) $140?

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