A companys perpetual preferred stock currently sells for $75.00 per share, and it pays an $5.00 annual dividend. If the company were to sell a new preferred issue, it would incur a flotation cost of 5.00% of the issue price. What is the firm's cost of preferred stock?

KK Question 2 of 18 Moving to another question will save this response. tion 2 1 points Sa A company's perpetual preferred stock currently sells for $75.00 per share, and it pays an $5.00 annual dividend. If the company were to sell a new preferred issue, it would incur a flotation cost of 5.00% of the issue price. What is the firm's cost of preferred stock? 1,01% 7.22% OB. OC. 7.65% 8.10% OD 8.56% O E O Type here to search