A company has preferred stock that can be sold for $28 per share. The preferred stock pays an annual dividend of 5% based on PAR Value of $100. Flotation Costs associated with the sales of preferred stock equal $1.50 per share. The company's marginal tax rate is 35%. Therefore, the cost of preferred stock is: A, 18.87%, B, 17.86%, C, 11.61%, D, 12.26% from marycamillam@gmail.com