Burnwood Tech plans to issue some $60 par preferred stock with a 6% dividend. A similar stock

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Burnwood Tech plans to issue some $60 par preferred stock with a 6% dividend. A similar stock is selling on the market for $70. Burnwood must pay flotation costs of 5% of the issue price. What is the cost of the preferred stock?

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Financial management theory and practice

ISBN: 978-1439078099

13th edition

Authors: Eugene F. Brigham and Michael C. Ehrhardt

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Question Posted: Oct 15, 2011 05:03 AM

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Burnwood Tech plans to issue some $60 par preferred stock with a 6% dividend. A similar stock

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Financial management theory and practice

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