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A firm is paying an annual dividend of $6.00 for its preferred stock which is selling for $63.00. There is a selling cost of $4.00.

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A firm is paying an annual dividend of $6.00 for its preferred stock which is selling for $63.00. There is a selling cost of $4.00. What is the after-tax cost of preferred stock if the firm's tax rate is 33%? (Round your answer to 2 decimal places.) Multiple Choice 8.82% 10.17% O 12.32% 11.62%

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