A

B

C

D

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F

Problem $14\mathrm{.}2$: The preferred stock of the Paulson Company currently sells for $$36$ a share and pays $8$ percent dividend on the $$25$ par value of the shares annually. What is the firm's cost of capital for the preferred stock? Use excel and excel formulas to solve.

$\backslash$table$[[$Market Price,$],[$Par Value,$],[$Dividend Percent,$],[$Dividend Amount,$],[$Cost of Preferred Stock,$]]$

See formula $14-2a$ on page $455$