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A firm is paying an annual dividend of $4.00 for its preferred stock which is selling for $70.00. There is a selling cost of

A firm is paying an annual dividend of $4.00 for its preferred stock which is selling for $70.00. There is a selling cost of $3.00 What is the after-tax cost of preferred stock if the firm's tax rate is 35%? (Round your answer to 2 decimal places.) 5:12 Multiple Choice 4.62% 8.12% 5.97% 742%

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