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Business, 14.07.2019 07:30 natalie2sheffield

"cost of preferred stock taylor systems has just issued preferred stock. the stock has a 12% annual dividend and a $100 par value and was sold at $97.50 per share. in addition, flotation costs of $2.50 per share must be paid. a. calculate the cost of the preferred stock. b. if the firm sells the preferred stock with a 10% annual dividend and nets $90.00 after flotation costs, what is its cost? "

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