A company's perpetual preferred stock pays a $1.38 annual dividend and currently sells for $16 per share. If the company were to sell new preferred stock, it would incur a flotation cost of 5% of the issue price. Attempt 1/8 for 10 pts. Part 1 What is the firm's cost of preferred stock? 3+ decimals Submit Amazon has a beta of 0.8. The risk-free rate is 1.9% and the expected return on the S&P500 is 6%. IB Attempt 1/8 for 10 pts. Part 1 What is Amazon's cost of equity? 3+ decimals Submit Part 2 18 Attempt 1/8 for 10 pts. Now assume that the expected market risk premium is 6%. What is Amazon's cost of equity? 3+ decimals Submit